Henry Schein Inc (HSIC)
Operating return on assets (Operating ROA)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 621,000 | 615,000 | 747,000 | 852,000 | 535,000 |
| Total assets | US$ in thousands | 10,218,000 | 10,573,000 | 8,607,000 | 8,481,000 | 7,773,000 |
| Operating ROA | 6.08% | 5.82% | 8.68% | 10.05% | 6.88% |
December 31, 2024 calculation
Operating ROA = Operating income ÷ Total assets
= $621,000K ÷ $10,218,000K
= 6.08%
Henry Schein Inc's operating return on assets (operating ROA) has shown fluctuations over the years based on the provided data.
As of December 31, 2020, the operating ROA stood at 6.88%, indicating that the company generated $0.0688 in operating income for every dollar of assets it had.
By the end of December 31, 2021, the operating ROA had improved to 10.05%, suggesting that the company was more efficient in utilizing its assets to generate operating profits.
In the following years, there were further changes in the operating ROA. By December 31, 2022, the operating ROA decreased to 8.68%, indicating a slight decline in the company's operating efficiency in generating profits from its assets.
However, the operating ROA fell to 5.82% by December 31, 2023, signaling a significant decrease in the company's ability to generate operating income relative to its asset base.
In the most recent period as of December 31, 2024, the operating ROA slightly improved to 6.08%, but it remains below the levels seen in 2021 and 2022.
Overall, the fluctuating trend in Henry Schein Inc's operating ROA over the years suggests varying levels of operational efficiency in utilizing its assets to generate profits. The company may need to assess its asset management strategies to improve profitability in the future.
Peer comparison
Dec 31, 2024