Liquidity Services Inc (LQDT)

Operating return on assets (Operating ROA)

		Sep 30, 2024	Sep 30, 2023	Sep 30, 2022	Sep 30, 2021	Sep 30, 2020
Operating income	US$ in thousands	23,404	26,105	47,405	27,168	-3,897
Total assets	US$ in thousands	346,888	288,970	288,104	255,576	196,634
Operating ROA		6.75%	9.03%	16.45%	10.63%	-1.98%

September 30, 2024 calculation

Operating ROA = Operating income ÷ Total assets
= $23,404K ÷ $346,888K
= 6.75%

Liquidity Services Inc's operating return on assets (operating ROA) has varied over the past five years. In Sep 2024, the operating ROA was 6.75%, showing a decrease from the previous year's 9.03%. This decline may indicate a reduced efficiency in generating profits from its operational assets.

Comparing to Sep 2022, where the operating ROA was 16.45%, the current level suggests a significant decrease in profitability. However, in Sep 2021, the company achieved an operating ROA of 10.63%, indicating a relatively strong performance in that year.

The operating ROA turned negative in Sep 2020 at -1.98%, which signifies that the company was not able to generate profits from its operational assets during that period, potentially due to operational inefficiencies or high operating costs.

Overall, Liquidity Services Inc's operating ROA has shown fluctuations, pointing towards changes in the company's operational efficiency and profitability over the years. Further analysis would be needed to understand the factors driving these fluctuations and to assess the company's operational performance in more detail.