Deere & Company (DE)
Operating return on assets (Operating ROA)
| Oct 29, 2023 | Oct 30, 2022 | Oct 31, 2021 | Nov 1, 2020 | Nov 3, 2019 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 12,958,000 | 9,508,000 | 8,012,000 | 4,305,000 | 4,415,000 |
| Total assets | US$ in thousands | 104,087,000 | 90,030,000 | 84,114,000 | 75,091,000 | 73,011,000 |
| Operating ROA | 12.45% | 10.56% | 9.53% | 5.73% | 6.05% |
October 29, 2023 calculation
Operating ROA = Operating income ÷ Total assets
= $12,958,000K ÷ $104,087,000K
= 12.45%
The operating return on assets (ROA) of Deere & Co. has exhibited a positive trend over the past five years, indicating improved efficiency in generating profits from its operational assets. The ratio increased from 5.95% in November 2019 to 12.50% in October 2023, demonstrating a consistent upward trajectory.
This upward trend suggests that Deere & Co. has been able to effectively utilize its operational assets to generate earnings. It is an encouraging sign for investors and stakeholders, as it indicates the company's ability to generate profits from its core business activities.
The improvement in operating ROA reflects positively on the company's operational efficiency and financial performance. It indicates that the company is achieving a higher return from its operational assets, which can contribute to overall profitability and shareholder value.
Overall, the increasing operating ROA of Deere & Co. reflects its ability to efficiently utilize its operational assets to generate profits, demonstrating positive growth and financial strength over the past five years.
Peer comparison
Oct 29, 2023