Hub Group Inc (HUBG)

Operating return on assets (Operating ROA)

Dec 31, 2024 Sep 30, 2024 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 Jun 30, 2021 Mar 31, 2021 Dec 31, 2020 Sep 30, 2020 Jun 30, 2020 Mar 31, 2020
Operating income (ttm) US$ in thousands 140,291 138,168 148,624 171,166 212,232 287,117 362,300 437,866 474,721 488,019 430,154 329,466 238,457 152,044 126,088 110,118 105,826 113,518 116,847 136,590
Total assets US$ in thousands 2,868,340 2,833,120 2,858,700 2,891,270 2,936,050 2,918,130 2,800,040 2,887,980 2,810,080 2,752,660 2,679,240 2,547,130 2,437,290 2,291,480 2,186,220 2,154,770 2,105,400 2,064,970 1,999,180 2,094,610
Operating ROA 4.89% 4.88% 5.20% 5.92% 7.23% 9.84% 12.94% 15.16% 16.89% 17.73% 16.06% 12.93% 9.78% 6.64% 5.77% 5.11% 5.03% 5.50% 5.84% 6.52%

December 31, 2024 calculation

Operating ROA = Operating income (ttm) ÷ Total assets
= $140,291K ÷ $2,868,340K
= 4.89%

Operating Return on Assets (Operating ROA) is a key financial ratio that measures a company's ability to generate operating income from its assets. It is calculated by dividing operating income by average total assets. Analyzing the operating ROA trend of Hub Group Inc from March 31, 2020, to December 31, 2024, reveals fluctuations in the company's operational efficiency and asset utilization.

From March 2020 to June 2021, Hub Group Inc experienced a declining trend in operating ROA, reflecting challenges in generating operating income relative to its assets. However, from September 2021 to June 2022, the company's operating ROA showed a significant improvement, reaching its peak at 17.73% by September 2022, indicating enhanced operational performance and efficiency in asset utilization.

Subsequently, from December 2022 to December 2024, Hub Group Inc's operating ROA exhibited a gradual decline, falling to 4.89% by December 2024. This downward trend suggests a potential decrease in operating income generation relative to the company's total assets during this period.

Overall, fluctuations in Hub Group Inc's operating ROA indicate varying levels of operational efficiency and asset productivity over the analyzed period. It is important for the company to closely monitor and manage its operational performance to maintain or improve its operating ROA in the future.