Copart Inc (CPRT)

Operating return on assets (Operating ROA)

		Jan 31, 2024	Oct 31, 2023	Jul 31, 2023	Apr 30, 2023	Jan 31, 2023	Oct 31, 2022	Jul 31, 2022	Apr 30, 2022	Jan 31, 2022	Oct 31, 2021	Jul 31, 2021	Apr 30, 2021	Jan 31, 2021	Oct 31, 2020	Jul 31, 2020	Apr 30, 2020	Jan 31, 2020	Oct 31, 2019	Jul 31, 2019	Apr 30, 2019
Operating income (ttm)	US$ in thousands	1,584,817	1,570,442	1,486,569	1,420,745	1,374,576	1,356,379	1,374,997	1,351,704	1,307,060	1,217,953	1,136,426	1,040,641	907,631	859,302	816,099	803,186	815,579	770,426	716,475	658,510
Total assets	US$ in thousands	7,598,520	7,333,790	6,737,880	6,349,800	5,932,410	5,593,680	5,308,860	5,443,870	5,136,960	4,918,850	4,562,140	4,281,950	3,934,440	3,741,190	3,455,260	3,161,580	3,048,600	2,855,940	2,547,620	2,391,760
Operating ROA		20.86%	21.41%	22.06%	22.37%	23.17%	24.25%	25.90%	24.83%	25.44%	24.76%	24.91%	24.30%	23.07%	22.97%	23.62%	25.40%	26.75%	26.98%	28.12%	27.53%

January 31, 2024 calculation

Operating ROA = Operating income (ttm) ÷ Total assets
= $1,584,817K ÷ $7,598,520K
= 20.86%

The operating return on assets (operating ROA) for Copart, Inc. has shown a decreasing trend over the past 8 quarters, dropping from 25.90% in Q4 2022 to 20.86% in Q2 2024. This indicates that the company's ability to generate operating income relative to its total assets has been declining. While the operating ROA has fluctuated slightly, it has generally been on a downward trajectory. It is essential for management to closely monitor this metric as it reflects the operational efficiency and profitability of the company. Further analysis of the factors contributing to this trend is recommended to identify potential areas for improvement and strategic decision-making.