Intuit Inc (INTU)
Operating return on assets (Operating ROA)
| Jul 31, 2024 | Jul 31, 2023 | Jul 31, 2022 | Jul 31, 2021 | Jul 31, 2020 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 3,630,000 | 3,141,000 | 2,571,000 | 2,500,000 | 2,176,000 |
| Total assets | US$ in thousands | 32,132,000 | 27,780,000 | 27,734,000 | 15,516,000 | 10,931,000 |
| Operating ROA | 11.30% | 11.31% | 9.27% | 16.11% | 19.91% |
July 31, 2024 calculation
Operating ROA = Operating income ÷ Total assets
= $3,630,000K ÷ $32,132,000K
= 11.30%
Intuit Inc's operating return on assets (ROA) has shown a gradual decline from 19.91% in July 2020 to 11.30% in July 2024. This decrease indicates that the company's ability to generate profit from its assets has weakened over the years. The declining trend in operating ROA may suggest inefficiencies in operational management or decreasing profitability relative to the total assets employed.
Further analysis is needed to identify the specific reasons behind this downward trend, such as changes in the company's cost structure, pricing strategies, or asset utilization efficiency. It is important for Intuit Inc to closely monitor its operating ROA and implement strategies to improve operational efficiency and profitability in order to enhance shareholder value and sustain long-term growth.
Peer comparison
Jul 31, 2024