ELF Beauty Inc (ELF)

Operating return on assets (Operating ROA)

		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	Mar 31, 2020
Operating income (ttm)	US$ in thousands	130,741	127,492	139,753	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
Total assets	US$ in thousands	1,264,830	1,237,020	1,204,830	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
Operating ROA		10.34%	10.31%	11.60%	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%

December 31, 2024 calculation

Operating ROA = Operating income (ttm) ÷ Total assets
= $130,741K ÷ $1,264,830K
= 10.34%

The operating return on assets (ROA) of ELF Beauty Inc has fluctuated over the past few years.

From March 31, 2020, to December 31, 2022, the operating ROA saw a declining trend, starting at 6.61% and dropping to 5.24%. However, from March 31, 2022, onwards, there was a notable improvement in the operating ROA, reaching 16.32% by June 30, 2023.

Subsequently, the operating ROA fluctuated but remained relatively high, with a slight decrease to 12.69% by December 31, 2023. The following periods saw some volatility, with the operating ROA fluctuating between 10.31% and 13.25%.

Overall, the upward trend in the operating ROA from March 31, 2022, to June 30, 2023, followed by relatively stable but fluctuating figures, indicates varying levels of profitability generated from the company's assets in recent years. However, it is important to perform a deeper analysis in conjunction with other financial metrics to understand the underlying reasons for these fluctuations.