DXC Technology Co (DXC)

Operating return on assets (Operating ROA)

Mar 31, 2025 Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 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
Operating income (ttm) US$ in thousands 705,000 532,000 684,000 1,063,000 1,111,000 -266,000 -356,000 -684,000 -659,000 1,476,000 1,460,000 1,398,000 1,316,000 277,000 40,000 -154,000 -393,000 -288,000 -54,000 235,000
Total assets US$ in thousands 13,205,000 13,033,000 13,504,000 13,353,000 13,871,000 14,892,000 14,709,000 15,293,000 15,845,000 18,254,000 17,737,000 18,647,000 20,139,000 19,953,000 20,115,000 20,867,000 22,038,000 23,634,000 25,670,000 27,894,000
Operating ROA 5.34% 4.08% 5.07% 7.96% 8.01% -1.79% -2.42% -4.47% -4.16% 8.09% 8.23% 7.50% 6.53% 1.39% 0.20% -0.74% -1.78% -1.22% -0.21% 0.84%

March 31, 2025 calculation

Operating ROA = Operating income (ttm) ÷ Total assets
= $705,000K ÷ $13,205,000K
= 5.34%

Operating Return on Assets (operating ROA) for DXC Technology Co has displayed fluctuations over the given period. The company's operating ROA was consistently negative from December 31, 2020, to March 31, 2021, indicating challenges in generating profits from its assets. However, the trend started improving from June 30, 2021, showing a positive turnaround in operational efficiency.

From March 31, 2022, to June 30, 2024, the operating ROA showed a steady improvement, reaching its peak at 8.01% on March 31, 2024. This positive trend suggests that the company was effectively utilizing its assets to generate operating income during this period.

Subsequently, there was a slight decline in the operating ROA by December 31, 2024. However, the ratio remained above 4% until March 31, 2025, indicating a relatively stable performance in utilizing assets to generate operating profits.

Overall, DXC Technology Co has shown a mix of challenges and improvements in its operating ROA, reflecting its operational efficiency and asset utilization capabilities over the analyzed period.