H&R Block Inc (HRB)
Operating return on assets (Operating ROA)
| 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 | Apr 30, 2021 | Jan 31, 2021 | Oct 31, 2020 | Jul 31, 2020 | Apr 30, 2020 | Jan 31, 2020 | Oct 31, 2019 | Jul 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | -295,966 | -222,269 | -284,999 | -301,491 | -306,830 | -425,934 | -408,219 | -407,316 | -381,383 | 391,820 | -757,377 | -693,637 | -375,912 | -865,038 | -758,178 | -766,472 | -1,061,961 | -585,471 | -523,353 | -474,277 |
| Total assets | US$ in thousands | 3,218,810 | 3,213,320 | 2,776,300 | 2,511,050 | 3,072,260 | 3,157,910 | 2,593,220 | 2,559,230 | 3,269,160 | 3,781,130 | 3,100,060 | 3,368,030 | 3,653,650 | 3,168,360 | 2,556,430 | 4,997,440 | 5,112,050 | 3,452,430 | 2,756,740 | 3,110,000 |
| Operating ROA | -9.19% | -6.92% | -10.27% | -12.01% | -9.99% | -13.49% | -15.74% | -15.92% | -11.67% | 10.36% | -24.43% | -20.59% | -10.29% | -27.30% | -29.66% | -15.34% | -20.77% | -16.96% | -18.98% | -15.25% |
June 30, 2024 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $-295,966K ÷ $3,218,810K
= -9.19%
The operating return on assets (operating ROA) for H&R Block Inc has shown significant fluctuations over the past few quarters. The data indicates that the company's performance in generating operating income relative to its total assets has been unstable.
From January 2020 to March 2022, the operating ROA was mostly negative, indicating that the company's operating income was insufficient to cover the assets employed in its operations during these periods. This suggests operational inefficiencies, poor asset utilization, or challenges in generating profits from assets.
In March 2022, there was a sudden positive spike in the operating ROA to 10.36%, indicating a significant improvement in operating income relative to assets. However, this improvement was short-lived as the operating ROA reverted to negative values in subsequent quarters.
Overall, the consistently negative operating ROA figures from September 2021 to June 2024 suggest that H&R Block Inc has been facing challenges in efficiently utilizing its assets to generate positive operating income. Management may need to review their operational strategies, asset allocation, and cost management practices to improve the company's operating performance and profitability.
Peer comparison
Jun 30, 2024