Perdoceo Education Corp (PRDO)

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	174,253	153,021	151,300	153,388	150,446	157,177	153,397	139,249	139,606	151,508	150,076	152,092	149,016	150,629	144,842	146,248	142,934	138,758	130,978	93,794
Total assets	US$ in thousands	1,237,030	1,116,760	1,078,240	1,051,960	1,007,320	1,026,030	1,013,670	963,012	957,368	899,203	856,061	843,827	847,433	836,419	786,419	750,365	721,517	683,751	655,099	606,526
Operating ROA		14.09%	13.70%	14.03%	14.58%	14.94%	15.32%	15.13%	14.46%	14.58%	16.85%	17.53%	18.02%	17.58%	18.01%	18.42%	19.49%	19.81%	20.29%	19.99%	15.46%

December 31, 2024 calculation

Operating ROA = Operating income (ttm) ÷ Total assets
= $174,253K ÷ $1,237,030K
= 14.09%

Perdoceo Education Corp's operating return on assets (operating ROA) has exhibited some fluctuations over the quarters from March 31, 2020, to December 31, 2024. The operating ROA started the period at 15.46% in March 2020 and showed an increasing trend, reaching a peak of 20.29% in September 2020. However, the operating ROA began to decline slightly thereafter, fluctuating around the high teens to low twenties.

The operating ROA decreased to 14.58% by December 31, 2022, from the peak observed in September 2020. The trend continued to decline gradually through the subsequent quarters until reaching 13.70% by September 30, 2024. Notably, there was a slight uptick to 14.09% by December 31, 2024, after hitting the lowest point in the previous quarter.

Overall, Perdoceo Education Corp's operating ROA shows a mixed performance, with peaks and troughs during the period in question. It is essential for the company to evaluate the factors driving these fluctuations and work towards maintaining a sustainable operating ROA to ensure efficient utilization of assets in generating operating profits.