Parker-Hannifin Corporation (PH)
Operating return on assets (Operating ROA)
| Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | Jun 30, 2020 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 4,068,820 | 3,404,180 | 2,975,040 | 2,459,940 | 1,966,700 |
| Total assets | US$ in thousands | 29,297,800 | 29,964,500 | 25,943,900 | 20,341,200 | 19,887,800 |
| Operating ROA | 13.89% | 11.36% | 11.47% | 12.09% | 9.89% |
June 30, 2024 calculation
Operating ROA = Operating income ÷ Total assets
= $4,068,820K ÷ $29,297,800K
= 13.89%
Parker-Hannifin Corporation's operating return on assets (operating ROA) has been trending positively over the past five years, as evidenced by the increasing percentages. The operating ROA for the most recent fiscal year ending on June 30, 2024, stood at 13.89%, indicating that the company generated approximately 13.89 cents of operating income for every dollar of assets employed in its operations.
This improvement is particularly noteworthy, given that the operating ROA has consistently exceeded 10% over the period in question. The upward trajectory suggests that Parker-Hannifin Corporation has been effectively utilizing its assets to generate operating income, reflecting operational efficiency and effectiveness in utilizing its resources.
The consistent performance of Parker-Hannifin Corporation in terms of operating ROA indicates that the company has been successful in managing its operations efficiently and generating profits relative to the assets deployed in its business activities. Investors and stakeholders may view this trend positively as it demonstrates the company's ability to generate returns from its asset base.
Peer comparison
Jun 30, 2024