Jack In The Box Inc (JACK)

Operating return on assets (Operating ROA)

		Jan 21, 2024	Sep 30, 2023	Jul 9, 2023	Apr 16, 2023	Jan 22, 2023	Sep 30, 2022	Jul 10, 2022	Apr 17, 2022	Jan 23, 2022	Sep 30, 2021	Jun 30, 2021	Apr 11, 2021	Jan 17, 2021	Sep 30, 2020	Jul 5, 2020	Apr 12, 2020	Jan 19, 2020	Sep 30, 2019	Jul 7, 2019	Apr 14, 2019
Operating income (ttm)	US$ in thousands	257,302	278,753	310,531	298,856	275,461	248,270	232,602	248,116	274,760	289,946	287,197	281,606	249,560	230,584	213,097	199,568	213,849	202,223	189,355	217,434
Total assets	US$ in thousands	2,887,260	3,001,090	2,951,780	2,903,380	2,907,020	2,922,510	2,863,770	2,823,750	1,758,600	1,750,140	1,787,470	1,790,780	1,913,570	1,906,490	1,886,700	1,861,250	1,690,310	958,483	831,270	832,127
Operating ROA		8.91%	9.29%	10.52%	10.29%	9.48%	8.50%	8.12%	8.79%	15.62%	16.57%	16.07%	15.73%	13.04%	12.09%	11.29%	10.72%	12.65%	21.10%	22.78%	26.13%

January 21, 2024 calculation

Operating ROA = Operating income (ttm) ÷ Total assets
= $257,302K ÷ $2,887,260K
= 8.91%

To analyze Jack In The Box, Inc.'s operating return on assets (ROA) based on the given data, we observe that the operating ROA has fluctuated over the past eight quarters. The operating ROA ranged from a low of 8.39% in Q4 2022 to a high of 9.54% in Q3 2023.

Overall, Jack In The Box, Inc. has maintained a relatively stable operating ROA above 8%, with an average operating ROA of approximately 9.03% over the given quarters. This indicates that the company has been effective in generating operating income from its assets during these periods.

It is important to note that a higher operating ROA suggests that the company is better at utilizing its assets to generate operating profits. Jack In The Box, Inc.'s consistent operating ROA above 8% reflects operational efficiency and profitability in managing its assets to generate income.

However, it is also crucial to consider the company's industry benchmarks and economic conditions when interpreting the operating ROA. Further analysis and comparison with industry peers will provide a clearer picture of Jack In The Box, Inc.'s performance in utilizing its assets effectively to generate operating income.