Starbucks Corporation (SBUX)
Operating return on assets (Operating ROA)
| Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | Sep 30, 2019 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 5,870,800 | 4,617,800 | 4,872,100 | 1,561,700 | 4,077,900 |
| Total assets | US$ in thousands | 29,445,500 | 27,978,400 | 31,392,600 | 29,374,500 | 19,219,600 |
| Operating ROA | 19.94% | 16.50% | 15.52% | 5.32% | 21.22% |
September 30, 2023 calculation
Operating ROA = Operating income ÷ Total assets
= $5,870,800K ÷ $29,445,500K
= 19.94%
Starbucks Corporation's operating return on assets (operating ROA) has shown a fluctuating trend over the past five years. In the most recent fiscal year ending September 30, 2023, Starbucks achieved an operating ROA of 19.94%, representing a significant increase from the previous year's 16.50%. This indicates that the company generated $0.1994 in operating income for every $1 of assets employed in its operations during the year.
Compared to the fiscal year 2020, where Starbucks reported an operating ROA of 5.32%, the current performance reflects a notable improvement in the utilization of assets to generate operating profits. However, it is essential to note that the operating ROA for 2023 is still below the levels seen in the fiscal year 2019, where the company posted a robust operating ROA of 21.22%.
Overall, the upward trend in operating ROA in the past two years suggests that Starbucks has been more efficient in managing its assets to drive operating profitability. The increase in operating ROA indicates potential operational improvements and a better utilization of resources, which could lead to enhanced financial performance for the company.
Peer comparison
Sep 30, 2023