McKesson Corporation (MCK)

Return on assets (ROA)

		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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019
Net income (ttm)	US$ in thousands	3,002,000	2,998,000	3,488,000	3,750,000	3,560,000	3,141,000	2,055,000	1,396,000	1,114,000	1,412,000	-4,807,000	-4,497,000	-4,539,000	-4,184,000	2,228,000	921,000	900,000	-917,000	-634,000	595,000
Total assets	US$ in thousands	67,443,000	66,512,000	66,091,000	64,096,000	62,320,000	62,690,000	63,081,000	62,295,000	63,298,000	63,708,000	63,601,000	62,894,000	65,015,000	61,845,000	61,558,000	57,666,000	61,247,000	60,873,000	58,994,000	61,680,000
ROA		4.45%	4.51%	5.28%	5.85%	5.71%	5.01%	3.26%	2.24%	1.76%	2.22%	-7.56%	-7.15%	-6.98%	-6.77%	3.62%	1.60%	1.47%	-1.51%	-1.07%	0.96%

March 31, 2024 calculation

ROA = Net income (ttm) ÷ Total assets
= $3,002,000K ÷ $67,443,000K
= 4.45%

McKesson Corporation's return on assets (ROA) has shown fluctuations over the past few quarters. The ROA was relatively stable in 2022, ranging from 1.76% to 5.01%. However, there was a significant decline in the ROA in the last quarter of 2022, dropping to 3.26%. This decline continued into the first half of 2023, reaching a low of -7.56% in the first quarter.

From the third quarter of 2023 onwards, the ROA started to improve steadily, reaching a peak of 5.85% in the second quarter of 2023. This positive trend continued into the most recent quarter, with the ROA standing at 4.45%.

Overall, the recent improvement in ROA suggests that McKesson Corporation has been more effective in generating profits from its assets compared to the previous quarters. However, the company should continue monitoring its asset management efficiency to sustain and potentially enhance its profitability levels in the future.