DXP Enterprises Inc (DXPE)
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 | 138,722 | 132,469 | 123,152 | 111,592 | 97,752 | 81,611 | 66,257 | 55,183 | 39,857 | 26,985 | -25,046 | -32,754 | -27,668 | -14,357 | 48,206 | 63,915 | 67,412 | 83,444 | 78,540 | 75,753 |
| Total assets | US$ in thousands | 1,177,440 | 1,045,100 | 1,034,430 | 1,053,160 | 1,037,280 | 996,075 | 984,024 | 902,315 | 894,227 | 912,957 | 901,580 | 911,517 | 868,131 | 736,718 | 783,130 | 791,691 | 788,220 | 791,554 | 786,607 | 775,207 |
| Operating ROA | 11.78% | 12.68% | 11.91% | 10.60% | 9.42% | 8.19% | 6.73% | 6.12% | 4.46% | 2.96% | -2.78% | -3.59% | -3.19% | -1.95% | 6.16% | 8.07% | 8.55% | 10.54% | 9.98% | 9.77% |
December 31, 2023 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $138,722K ÷ $1,177,440K
= 11.78%
The operating return on assets (operating ROA) for DXP Enterprises Inc has shown a mixed performance over the past two years. The trend indicates a gradual increase in operating ROA from negative values in Q2 and Q3 of 2021 to a positive range in 2022 and 2023. This improvement suggests that the company has been more efficient in generating operating profits relative to its total assets.
Specifically, the operating ROA has seen a steady upward trajectory from 2.96% in Q3 2021 to 11.78% in Q4 2023. This signifies an enhancement in the company's ability to utilize its assets to generate operating income. However, it is important to note that there were fluctuations in the operating ROA figures, indicating potential volatility in the company's operational efficiency and asset utilization.
Overall, the increasing trend in operating ROA reflects positively on DXP Enterprises Inc's operational performance and management's effectiveness in generating profits from its asset base. It suggests that the company has been making strides in enhancing its operational efficiency and profitability over the analyzed period.
Peer comparison
Dec 31, 2023