O’Reilly Automotive Inc (ORLY)
Operating return on assets (Operating ROA)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 3,251,160 | 3,186,380 | 2,954,490 | 2,917,170 | 2,419,340 |
| Total assets | US$ in thousands | 14,893,700 | 14,603,800 | 12,628,000 | 11,718,700 | 11,596,600 |
| Operating ROA | 21.83% | 21.82% | 23.40% | 24.89% | 20.86% |
December 31, 2024 calculation
Operating ROA = Operating income ÷ Total assets
= $3,251,160K ÷ $14,893,700K
= 21.83%
O’Reilly Automotive Inc has demonstrated a consistent upward trend in its operating return on assets (operating ROA) from 2020 to 2022. Specifically, the operating ROA increased from 20.86% in December 2020 to 24.89% in December 2021, showcasing improved efficiency in generating operating income relative to its total assets during this period.
Although there was a slight dip in operating ROA to 23.40% in December 2022, it remained relatively high, indicating the company's ability to effectively utilize its assets to generate operating profits.
In 2023 and 2024, the operating ROA stabilized at around 21.82% and 21.83%, respectively. This demonstrates O’Reilly Automotive Inc's ability to sustain its operational efficiency in generating profits relative to its asset base.
Overall, the stable and relatively high operating ROA figures reflect O’Reilly Automotive Inc's operational effectiveness and efficient utilization of its assets to drive profitability over the years analyzed.
Peer comparison
Dec 31, 2024