Elevance Health Inc (ELV)
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 | 8,499,000 | 8,643,000 | 9,138,000 | 8,856,000 | 8,452,000 | 8,212,000 | 8,020,000 | 7,755,000 | 7,489,000 | 6,906,000 | 5,048,000 | 6,327,000 | 6,360,000 | 6,853,000 | 8,180,000 | 6,253,000 | 5,999,000 | 5,651,000 | 5,372,000 | 5,498,000 |
| Total assets | US$ in thousands | 108,928,000 | 110,478,000 | 109,168,000 | 109,040,000 | 102,755,000 | 103,026,000 | 100,877,000 | 100,486,000 | 97,456,000 | 98,060,000 | 96,097,000 | 95,683,000 | 86,615,000 | 86,574,000 | 87,976,000 | 82,399,000 | 77,453,000 | 77,809,000 | 75,851,000 | 74,523,000 |
| Operating ROA | 7.80% | 7.82% | 8.37% | 8.12% | 8.23% | 7.97% | 7.95% | 7.72% | 7.68% | 7.04% | 5.25% | 6.61% | 7.34% | 7.92% | 9.30% | 7.59% | 7.75% | 7.26% | 7.08% | 7.38% |
December 31, 2023 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $8,499,000K ÷ $108,928,000K
= 7.80%
Elevance Health Inc's operating return on assets (operating ROA) has been relatively stable over the past eight quarters, ranging from 6.35% to 7.43%. The operating ROA measures the company's ability to generate earnings from its core operations relative to its total assets.
The trend indicates that the company has been able to maintain a consistent level of operational efficiency in generating profits from its assets. Despite some minor fluctuations, the operating ROA has generally remained within a narrow range, suggesting that the company's operational performance has been fairly steady.
A higher operating ROA indicates that the company is utilizing its assets effectively to generate profits, while a lower ratio may signal inefficiencies in operations. In the case of Elevance Health Inc, the operating ROA figures demonstrate a reasonable level of efficiency in utilizing its assets to generate profits over the past two years.
It would be beneficial for the company to continue monitoring and improving its operational efficiency in order to sustain or potentially enhance its operating ROA in the future.
Peer comparison
Dec 31, 2023