McDonald’s Corporation (MCD)
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 | 11,712,000 | 11,645,900 | 11,665,900 | 11,849,900 | 11,645,900 | 11,426,700 | 10,982,600 | 9,590,400 | 9,371,000 | 9,185,400 | 9,408,000 | 10,387,300 | 10,356,000 | 10,101,800 | 9,641,700 | 7,911,700 | 7,324,000 | 7,473,700 | 7,356,600 | 8,669,400 |
| Total assets | US$ in thousands | 55,182,000 | 56,172,000 | 53,801,000 | 53,513,000 | 56,147,000 | 52,089,300 | 50,442,000 | 52,014,400 | 50,435,600 | 48,501,600 | 49,247,800 | 50,877,700 | 53,854,300 | 52,727,000 | 51,893,100 | 51,103,100 | 52,626,800 | 50,699,300 | 49,938,900 | 50,568,000 |
| Operating ROA | 21.22% | 20.73% | 21.68% | 22.14% | 20.74% | 21.94% | 21.77% | 18.44% | 18.58% | 18.94% | 19.10% | 20.42% | 19.23% | 19.16% | 18.58% | 15.48% | 13.92% | 14.74% | 14.73% | 17.14% |
December 31, 2024 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $11,712,000K ÷ $55,182,000K
= 21.22%
McDonald's Corporation's operating return on assets (ROA) has shown fluctuations over the reporting periods provided. The ROA has ranged from a low of 13.92% on December 31, 2020, to a high of 22.14% on March 31, 2024.
The trend indicates an overall positive performance in terms of generating profits from its assets, with an upward trend in recent periods. Notably, there was a significant improvement from 13.92% on December 31, 2020, to 22.14% on March 31, 2024.
The increasing trend in operating ROA signifies that McDonald's is effectively utilizing its assets to generate operating income. This improvement could be attributed to various factors such as effective cost management, revenue growth, or operational efficiencies implemented by the company during this period.
It is important for stakeholders to continue monitoring McDonald's operating ROA to assess the company's efficiency in generating profits relative to its asset base and to evaluate the sustainability of its performance over time.
Peer comparison
Dec 31, 2024