eBay Inc (EBAY)

Operating return on assets (Operating ROA)

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Operating income US$ in thousands 2,318,000 1,941,000 2,350,000 2,923,000 2,636,000
Total assets US$ in thousands 19,365,000 21,620,000 20,850,000 26,626,000 19,310,000
Operating ROA 11.97% 8.98% 11.27% 10.98% 13.65%

December 31, 2024 calculation

Operating ROA = Operating income ÷ Total assets
= $2,318,000K ÷ $19,365,000K
= 11.97%

Based on the data provided, eBay Inc's operating return on assets (operating ROA) has shown some fluctuations over the past five years. In December 31, 2020, the operating ROA was at 13.65%, indicating that for every dollar of assets, the company generated a return of 13.65 cents from its operations.

However, there was a decrease in operating ROA in the subsequent years, with percentages of 10.98% in December 31, 2021, 11.27% in December 31, 2022, and 8.98% in December 31, 2023. These fluctuations suggest that the company may have faced challenges in efficiently utilizing its assets to generate profits during these periods.

Nevertheless, in December 31, 2024, eBay Inc's operating ROA improved to 11.97%, indicating a potential recovery or enhancement in the company's operational efficiency in utilizing its assets to generate returns.

Overall, it is essential for eBay Inc to continuously monitor and manage its operating ROA to ensure optimal utilization of assets and sustainable profitability in the long run.