Copart Inc (CPRT)
Operating return on assets (Operating ROA)
| Jul 31, 2024 | Jul 31, 2023 | Jul 31, 2022 | Jul 31, 2021 | Jul 31, 2020 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 1,572,020 | 1,486,570 | 1,375,000 | 1,136,430 | 816,099 |
| Total assets | US$ in thousands | 8,427,760 | 6,737,880 | 5,308,860 | 4,562,140 | 3,455,260 |
| Operating ROA | 18.65% | 22.06% | 25.90% | 24.91% | 23.62% |
July 31, 2024 calculation
Operating ROA = Operating income ÷ Total assets
= $1,572,020K ÷ $8,427,760K
= 18.65%
The operating return on assets (operating ROA) for Copart Inc has shown a declining trend over the past five years. The ratio decreased from 23.62% in July 2020 to 18.65% in July 2024. This indicates that the company's ability to generate operating profits from its assets has decreased over the period.
The peak operating ROA was observed in July 2022 at 25.90%, after which there was a gradual decline in the ratio. While the operating ROA fluctuated between 22.06% and 24.91% in the years leading up to 2022, it experienced a more significant drop in the most recent year.
This downward trend in operating ROA suggests that Copart Inc may be facing challenges in efficiently utilizing its assets to generate operating income. Further analysis of the company's operational efficiency and asset management strategies may be necessary to identify the factors contributing to this decline in performance.
Peer comparison
Jul 31, 2024