GXO Logistics Inc (GXO)
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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | 329,000 | 328,000 | 337,000 | 348,000 | 331,000 | 305,000 | 287,000 | 295,000 | 338,000 | 327,000 | 291,000 | 206,000 | 151,000 | 138,000 | 151,000 | 44,000 | 16,000 |
| Total assets | US$ in thousands | 11,266,000 | 11,900,000 | 11,360,000 | 9,380,000 | 9,507,000 | 9,091,000 | 9,126,000 | 9,090,000 | 9,219,000 | 8,806,000 | 8,706,000 | 7,126,000 | 7,271,000 | 7,133,000 | 7,068,000 | 7,120,000 | 6,548,000 |
| Operating ROA | 2.92% | 2.76% | 2.97% | 3.71% | 3.48% | 3.35% | 3.14% | 3.25% | 3.67% | 3.71% | 3.34% | 2.89% | 2.08% | 1.93% | 2.14% | 0.62% | 0.24% |
December 31, 2024 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $329,000K ÷ $11,266,000K
= 2.92%
Operating Return on Assets (Operating ROA) is a key financial ratio that indicates how effectively a company generates profits from its operational assets. The trend analysis of GXO Logistics Inc's Operating ROA over the period from December 31, 2020, to December 31, 2024, reflects a generally positive performance.
Starting at 0.24% on December 31, 2020, the Operating ROA steadily increased to reach 3.71% by March 31, 2024. The ratio fluctuated in the range of 2-3% during the analyzed period, indicating the company's ability to efficiently utilize its operational assets to generate profits. However, there were slight dips in June 2022 and June 2024, where the Operating ROA dropped to 2.97% and 2.76%, respectively. Despite these fluctuations, GXO Logistics Inc managed to maintain a relatively strong Operating ROA compared to the initial figure in 2020.
The consistency in the upward trend of Operating ROA from 2020 to 2024 suggests that GXO Logistics Inc has been successful in improving its operational efficiency and profitability over time. This improvement is crucial for investors and stakeholders as it shows the company's ability to generate earnings relative to its operational asset base. Overall, the increasing trend in Operating ROA reflects positively on GXO Logistics Inc's operational performance and financial health during the analyzed period.
Peer comparison
Dec 31, 2024