Edgewell Personal Care Co (EPC)

Operating return on assets (Operating ROA)

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 Dec 31, 2019
Operating income (ttm) US$ in thousands 199,300 232,800 236,300 223,000 228,800 233,800 197,500 182,400 182,300 187,700 208,900 230,100 239,900 216,900 189,300 180,500 176,000 401,100 530,600 597,300
Total assets US$ in thousands 3,730,900 3,708,400 3,756,300 3,787,200 3,740,700 3,766,300 3,798,600 3,797,000 3,713,100 3,721,300 3,793,300 3,807,100 3,674,600 3,647,200 3,537,900 3,496,100 3,540,900 3,465,600 3,308,500 3,303,200
Operating ROA 5.34% 6.28% 6.29% 5.89% 6.12% 6.21% 5.20% 4.80% 4.91% 5.04% 5.51% 6.04% 6.53% 5.95% 5.35% 5.16% 4.97% 11.57% 16.04% 18.08%

September 30, 2024 calculation

Operating ROA = Operating income (ttm) ÷ Total assets
= $199,300K ÷ $3,730,900K
= 5.34%

Operating Return on Assets (Operating ROA) is a key financial ratio that measures a company's ability to generate earnings from its operations relative to its total assets. A higher operating ROA indicates better operational efficiency and profitability.

Analyzing the trend of Edgewell Personal Care Co's operating ROA over the past years, we observe fluctuations in the ratio. The ratio ranged from a low of 4.80% in December 2022 to a high of 6.53% in March 2021. This variability suggests potential changes in the company's operational performance and asset utilization efficiency.

From December 2019 to September 2020, the operating ROA experienced a notable increase, peaking at 18.08% in September 2020, indicating strong operational performance during that period. However, the ratio then declined steadily until March 2021, where it saw a significant improvement reaching 6.53%. Since then, there have been fluctuations with the ratio hovering around the 5% - 6% range, indicating a moderate level of operational efficiency.

Overall, the trend in Edgewell Personal Care Co's operating ROA suggests that the company has maintained a satisfactory level of operational profitability relative to its assets over the past few years, with some fluctuations observed. It would be important to further investigate the factors driving these fluctuations to assess the company's operational effectiveness and efficiency in utilizing its assets to generate profits.


Peer comparison

Sep 30, 2024

Company name
Symbol
Operating ROA
Edgewell Personal Care Co
EPC
5.34%
Energizer Holdings Inc
ENR
8.64%
Integer Holdings Corp
ITGR
5.69%
Novanta Inc
NOVT
9.01%