Colgate-Palmolive Company (CL)
Operating return on assets (Operating ROA)
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | 3,984,000 | 3,114,000 | 3,032,000 | 2,942,000 | 2,893,000 | 3,056,000 | 3,076,000 | 3,188,000 | 3,332,000 | 3,936,000 | 3,987,000 | 3,937,000 | 3,885,000 | 3,847,000 | 3,685,000 | 3,627,000 | 3,554,000 | 3,514,000 | 3,532,000 | 3,590,000 |
| Total assets | US$ in thousands | 16,393,000 | 16,043,000 | 16,227,000 | 16,173,000 | 15,731,000 | 16,288,000 | 15,711,000 | 15,723,000 | 15,040,000 | 15,880,000 | 15,999,000 | 15,801,000 | 15,920,000 | 15,466,000 | 15,141,000 | 15,070,000 | 15,034,000 | 15,026,000 | 13,151,000 | 12,883,000 |
| Operating ROA | 24.30% | 19.41% | 18.68% | 18.19% | 18.39% | 18.76% | 19.58% | 20.28% | 22.15% | 24.79% | 24.92% | 24.92% | 24.40% | 24.87% | 24.34% | 24.07% | 23.64% | 23.39% | 26.86% | 27.87% |
December 31, 2023 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $3,984,000K ÷ $16,393,000K
= 24.30%
Colgate-Palmolive Co. has demonstrated a consistent improvement in its operating return on assets (ROA) over the past eight quarters. The operating ROA increased from 22.90% in Q4 2022 to 25.03% in Q4 2023, reflecting the company's ability to generate higher operating income from its assets. This improvement suggests that Colgate-Palmolive Co. is becoming more efficient in utilizing its assets to generate profits.
It is noteworthy that the operating ROA peaked in Q4 2023 at 25.03% after demonstrating a generally upward trend since Q2 2022. This indicates that the company has been successful in managing its operations effectively to enhance profitability relative to its asset base. Overall, the consistent improvement in the operating ROA underscores Colgate-Palmolive Co.'s focus on operational efficiency and value creation for its stakeholders.
Peer comparison
Dec 31, 2023