Hormel Foods Corporation (HRL)
Return on assets (ROA)
| Oct 31, 2024 | Oct 27, 2024 | Oct 31, 2023 | Oct 29, 2023 | Oct 31, 2022 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 805,038 | 805,038 | 793,572 | 793,572 | 999,987 |
| Total assets | US$ in thousands | 13,434,700 | 13,434,700 | 13,448,800 | 13,448,800 | 13,306,900 |
| ROA | 5.99% | 5.99% | 5.90% | 5.90% | 7.51% |
October 31, 2024 calculation
ROA = Net income ÷ Total assets
= $805,038K ÷ $13,434,700K
= 5.99%
Hormel Foods Corporation's return on assets (ROA) has shown a downward trend over the past few years. In October 2022, the ROA was at 7.51%, which decreased to 5.90% in October 2023 and remained the same in October 2024. This indicates that the company's ability to generate profits from its assets has declined slightly. It is important for the company to closely monitor its asset utilization and profitability to improve its ROA in the future and ensure sustainable financial performance.