Five Below Inc (FIVE)
Operating return on assets (Operating ROA)
| Feb 3, 2024 | Jan 28, 2023 | Jan 29, 2022 | Jan 30, 2021 | Feb 1, 2020 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 385,571 | 345,043 | 379,880 | 154,803 | 217,284 |
| Total assets | US$ in thousands | 3,872,040 | 3,324,910 | 2,880,460 | 2,314,770 | 1,958,660 |
| Operating ROA | 9.96% | 10.38% | 13.19% | 6.69% | 11.09% |
February 3, 2024 calculation
Operating ROA = Operating income ÷ Total assets
= $385,571K ÷ $3,872,040K
= 9.96%
Operating ROA measures how efficiently a company generates operating profits from its assets. Five Below Inc's operating ROA has fluctuated over the past five years. In fiscal year 2022, the operating ROA was 9.96%, slightly lower than the previous year's 10.38%. This indicates a decrease in the company's ability to generate operating profits relative to its assets. However, in fiscal year 2022, the operating ROA was still higher than the levels seen in fiscal years 2021 and 2020, when it was 6.69% and 11.09%, respectively. This suggests that the company's profitability from its operating activities improved compared to two years ago but declined compared to the immediate prior year. Overall, the company's operating ROA has shown some volatility in recent years, indicating changes in efficiency in utilizing its assets to generate operating profits.
Peer comparison
Feb 3, 2024