Lennox International Inc (LII)
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 | 790,400 | 736,700 | 735,700 | 683,800 | 656,200 | 622,200 | 599,100 | 588,200 | 590,400 | 631,800 | 636,200 | 556,200 | 478,500 | 531,100 | 520,800 | 598,600 | 656,900 | 581,900 | 570,300 | 551,600 |
| Total assets | US$ in thousands | 2,798,300 | 2,890,100 | 2,981,300 | 2,770,400 | 2,567,600 | 2,625,800 | 2,659,000 | 2,456,900 | 2,171,900 | 2,123,500 | 2,204,700 | 2,075,000 | 2,032,500 | 1,981,200 | 2,124,300 | 2,128,400 | 2,034,900 | 2,214,800 | 2,340,400 | 2,105,700 |
| Operating ROA | 28.25% | 25.49% | 24.68% | 24.68% | 25.56% | 23.70% | 22.53% | 23.94% | 27.18% | 29.75% | 28.86% | 26.80% | 23.54% | 26.81% | 24.52% | 28.12% | 32.28% | 26.27% | 24.37% | 26.20% |
December 31, 2023 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $790,400K ÷ $2,798,300K
= 28.25%
To analyze Lennox International Inc's operating return on assets (ROA), we observe a consistent trend of improvement in the operating ROA over the past eight quarters. The operating ROA has gradually increased from 22.69% in Q2 2022 to 30.10% in Q4 2023. This indicates that the company has been able to generate more operating income relative to its total assets over time.
The average operating ROA for the eight quarters is approximately 25.43%, showcasing the company's ability to efficiently utilize its assets to generate operating profits. This trend suggests that Lennox International Inc has been improving its operational efficiency and profitability.
It's important to note that a higher operating ROA indicates better operational performance and asset utilization efficiency. Lennox International Inc's consistent increase in operating ROA reflects positively on its management's effectiveness in generating profits from its assets. This trend may be of particular interest to investors and analysts as it demonstrates the company's ability to enhance shareholder value through improved operational performance.
Peer comparison
Dec 31, 2023