Helen of Troy Ltd (HELE)
Operating return on assets (Operating ROA)
| Feb 29, 2024 | Nov 30, 2023 | Aug 31, 2023 | May 31, 2023 | Feb 28, 2023 | Nov 30, 2022 | Aug 31, 2022 | May 31, 2022 | Feb 28, 2022 | Nov 30, 2021 | Aug 31, 2021 | May 31, 2021 | Feb 28, 2021 | Nov 30, 2020 | Aug 31, 2020 | May 31, 2020 | Feb 29, 2020 | Nov 30, 2019 | Aug 31, 2019 | May 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | 260,589 | 248,126 | 218,392 | 218,493 | 211,791 | 208,462 | 221,309 | 241,654 | 272,550 | 246,691 | 257,360 | 289,344 | 281,488 | 254,218 | 232,778 | 188,023 | 178,251 | 225,092 | 207,119 | 203,259 |
| Total assets | US$ in thousands | 2,838,620 | 2,952,290 | 2,901,660 | 2,872,830 | 2,913,720 | 3,129,420 | 3,225,210 | 3,144,250 | 2,823,450 | 2,487,400 | 2,400,160 | 2,348,090 | 2,263,490 | 2,311,740 | 2,174,190 | 1,975,690 | 1,903,880 | 1,791,090 | 1,775,950 | 1,702,830 |
| Operating ROA | 9.18% | 8.40% | 7.53% | 7.61% | 7.27% | 6.66% | 6.86% | 7.69% | 9.65% | 9.92% | 10.72% | 12.32% | 12.44% | 11.00% | 10.71% | 9.52% | 9.36% | 12.57% | 11.66% | 11.94% |
February 29, 2024 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $260,589K ÷ $2,838,620K
= 9.18%
The operating return on assets (operating ROA) of Helen of Troy Ltd has shown a fluctuating trend over the periods reported. The operating ROA ranged from 6.66% to 12.57% during the timeframe provided. The highest operating ROA was observed in May 2021 at 12.57%, while the lowest was in August 2022 at 6.66%.
On average, the operating ROA has been relatively stable, with the median value around 9%, indicating that for each dollar of assets the company generates, it earns approximately 9 cents in operating income. This suggests that the company has been efficient in generating operating income from its assets throughout the periods analyzed.
It is important to note that the operating ROA is a key measure to assess how effectively a company is utilizing its assets to generate operating profits. A generally increasing trend in operating ROA signifies improving asset efficiency and profitability, while a declining trend may indicate challenges in managing asset utilization effectively.
In conclusion, the analysis of Helen of Troy Ltd's operating ROA indicates that the company has maintained a relatively stable performance in generating operating income relative to its assets, with some fluctuations observed over the periods reviewed.