HP Inc (HPQ)
Operating return on assets (Operating ROA)
| Oct 31, 2024 | Jul 31, 2024 | Apr 30, 2024 | Jan 31, 2024 | Oct 31, 2023 | Jul 31, 2023 | Apr 30, 2023 | Jan 31, 2023 | Oct 31, 2022 | Jul 31, 2022 | Apr 30, 2022 | Jan 31, 2022 | Oct 31, 2021 | Jul 31, 2021 | Apr 30, 2021 | Jan 31, 2021 | Oct 31, 2020 | Jul 31, 2020 | Apr 30, 2020 | Jan 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | 3,818,000 | 3,841,000 | 3,853,000 | 3,648,000 | 3,456,000 | 3,183,000 | 3,487,000 | 3,997,000 | 4,559,000 | 5,113,000 | 5,238,000 | 5,343,000 | 5,359,000 | 5,056,000 | 4,454,000 | 3,918,000 | 3,462,000 | 3,414,000 | 3,714,000 | 3,816,000 |
| Total assets | US$ in thousands | 39,909,000 | 38,059,000 | 37,433,000 | 35,846,000 | 37,004,000 | 36,632,000 | 36,366,000 | 36,148,000 | 38,494,000 | 39,247,000 | 39,901,000 | 38,912,000 | 38,610,000 | 35,523,000 | 34,549,000 | 34,737,000 | 34,681,000 | 34,244,000 | 33,773,000 | 31,656,000 |
| Operating ROA | 9.57% | 10.09% | 10.29% | 10.18% | 9.34% | 8.69% | 9.59% | 11.06% | 11.84% | 13.03% | 13.13% | 13.73% | 13.88% | 14.23% | 12.89% | 11.28% | 9.98% | 9.97% | 11.00% | 12.05% |
October 31, 2024 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $3,818,000K ÷ $39,909,000K
= 9.57%
Operating return on assets (operating ROA) is a financial ratio that measures a company's ability to generate operating profits relative to its total assets. HP Inc's operating ROA has fluctuated over the past few years, ranging from 8.69% in July 2023 to a peak of 14.23% in April 2021.
The trend in HP Inc's operating ROA shows some volatility, with peaks and troughs occurring over the analyzed periods. Typically, a higher operating ROA indicates that the company is generating more operating income from its assets, while a lower ratio suggests lower profitability relative to the total assets employed.
Overall, HP Inc's operating ROA has shown a generally positive trend, with several periods of strong performance, indicating efficient utilization of its assets to generate operating profits. However, fluctuations in the ratio suggest that the company's operating efficiency and profitability have not been consistently improving over time, and further analysis would be required to understand the underlying factors driving these fluctuations.
Peer comparison
Oct 31, 2024