ELF Beauty Inc (ELF)

Operating return on assets (Operating ROA)

		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	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019
Operating income (ttm)	US$ in thousands	149,678	140,693	132,148	107,346	68,143	62,284	47,964	40,029	29,770	25,716	23,036	17,562	9,400	12,308	18,897	26,031	29,950	9,901	10,042	7,253
Total assets	US$ in thousands	1,129,250	1,108,280	746,936	657,881	595,601	555,925	542,141	513,857	494,632	490,950	493,012	498,392	487,393	480,905	473,424	462,068	453,104	456,251	437,027	435,981
Operating ROA		13.25%	12.69%	17.69%	16.32%	11.44%	11.20%	8.85%	7.79%	6.02%	5.24%	4.67%	3.52%	1.93%	2.56%	3.99%	5.63%	6.61%	2.17%	2.30%	1.66%

March 31, 2024 calculation

Operating ROA = Operating income (ttm) ÷ Total assets
= $149,678K ÷ $1,129,250K
= 13.25%

ELF Beauty Inc's operating return on assets (ROA) has shown a fluctuating trend over the reported periods. The operating ROA has generally been trending higher in recent quarters, indicating improved efficiency in generating operating income from its assets. The operating ROA increased from 1.66% in June 2019 to 17.69% in September 2023, showcasing a significant improvement.

This upward trend suggests that ELF Beauty Inc has been effectively utilizing its assets to generate operating profits. Additionally, the double-digit operating ROA figures for the most recent quarters indicate a strong performance in terms of generating profits relative to its asset base.

Overall, the increasing trend in operating ROA indicates efficiency in the utilization of assets to generate operating income and profitability for the company. Investors and stakeholders may view this positively as it demonstrates the company's ability to generate returns from its assets.