Hershey Co (HSY)
Operating return on assets (Operating ROA)
| 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 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | 2,560,867 | 2,623,184 | 2,443,855 | 2,339,721 | 2,260,787 | 2,193,313 | 2,211,524 | 2,211,668 | 2,043,722 | 1,989,665 | 2,026,244 | 1,952,942 | 1,782,698 | 1,663,781 | 1,513,186 | 1,539,883 | 1,595,952 | 1,730,919 | 1,676,367 | 1,582,021 |
| Total assets | US$ in thousands | 11,902,900 | 11,935,700 | 11,525,700 | 11,111,500 | 10,948,800 | 10,832,900 | 10,588,900 | 10,645,000 | 10,412,200 | 9,439,180 | 8,883,860 | 9,038,130 | 9,131,840 | 9,255,030 | 8,911,070 | 8,855,440 | 8,140,400 | 8,464,260 | 7,793,560 | 7,857,380 |
| Operating ROA | 21.51% | 21.98% | 21.20% | 21.06% | 20.65% | 20.25% | 20.89% | 20.78% | 19.63% | 21.08% | 22.81% | 21.61% | 19.52% | 17.98% | 16.98% | 17.39% | 19.61% | 20.45% | 21.51% | 20.13% |
December 31, 2023 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $2,560,867K ÷ $11,902,900K
= 21.51%
The operating return on assets (ROA) for Hershey Company has shown a consistent upward trend over the past eight quarters. In Q4 2022, the operating ROA was 20.67%, which increased gradually to 22.00% in Q3 2023 before slightly declining to 21.52% in Q4 2023. This indicates that Hershey has been effectively utilizing its assets to generate operating income.
On average, Hershey Company has maintained a strong operating ROA of around 21%, suggesting that the company is efficiently using its assets to generate profits through its core operations. This steady performance reflects effective management of resources and operational efficiency within the company.
Overall, the consistent and relatively high operating ROA figures demonstrate Hershey's ability to generate profits from its operational activities relative to its assets, which is a positive indicator of its financial health and operational performance.
Peer comparison
Dec 31, 2023