MSC Industrial Direct Company Inc (MSM)
Operating return on assets (Operating ROA)
| Mar 2, 2024 | Dec 2, 2023 | Sep 2, 2023 | Jun 3, 2023 | Mar 4, 2023 | Dec 3, 2022 | Sep 3, 2022 | May 28, 2022 | Feb 26, 2022 | Nov 27, 2021 | Aug 28, 2021 | May 29, 2021 | Feb 27, 2021 | Nov 28, 2020 | Aug 29, 2020 | May 30, 2020 | Feb 29, 2020 | Nov 30, 2019 | Aug 31, 2019 | Jun 1, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | 446,204 | 469,291 | 483,733 | 509,655 | 511,105 | 493,991 | 468,713 | 415,950 | 407,740 | 338,593 | 301,769 | 283,475 | 264,701 | 314,350 | 350,740 | 368,334 | 368,983 | 387,294 | 399,996 | 417,272 |
| Total assets | US$ in thousands | 2,501,390 | 2,493,720 | 2,544,130 | 2,526,680 | 2,524,460 | 2,749,400 | 2,729,410 | 2,619,320 | 2,564,920 | 2,496,340 | 2,462,120 | 2,424,320 | 2,302,240 | 2,286,650 | 2,382,430 | 2,709,710 | 2,377,030 | 2,339,760 | 2,311,240 | 2,324,350 |
| Operating ROA | 17.84% | 18.82% | 19.01% | 20.17% | 20.25% | 17.97% | 17.17% | 15.88% | 15.90% | 13.56% | 12.26% | 11.69% | 11.50% | 13.75% | 14.72% | 13.59% | 15.52% | 16.55% | 17.31% | 17.95% |
March 2, 2024 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $446,204K ÷ $2,501,390K
= 17.84%
Operating return on assets (operating ROA) is a key financial ratio that indicates how efficiently a company generates profits from its assets used in operations. The trend analysis of MSC Industrial Direct Company Inc's operating ROA reveals fluctuations over the past few quarters. The operating ROA has ranged from a low of 11.50% in Feb 27, 2021, to a high of 20.25% in Mar 4, 2023.
Overall, the operating ROA has shown a general upward trend, with some variability in the middle quarters. This indicates that the company has been able to improve its profitability relative to its asset base over time, which is a positive sign. Higher operating ROA figures suggest that MSC Industrial Direct Company Inc has been effectively utilizing its assets to generate operating income.
Investors and stakeholders may view this trend positively as it indicates improved operational efficiency and profitability. However, it is essential to continue monitoring the operating ROA and other financial metrics to assess the company's financial performance comprehensively.
Peer comparison
Mar 2, 2024