Shake Shack Inc (SHAK)
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 | Sep 23, 2020 | Jun 30, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | 11,376 | 5,908 | 29,553 | 18,460 | 11,958 | 4,026 | -2,824 | -5,040 | -16,498 | -19,801 | -21,254 | -20,479 | -15,853 | -21,576 | -25,728 | -35,833 | -49,887 | -38,458 | -31,172 | -16,210 |
| Total assets | US$ in thousands | 1,696,970 | 1,675,420 | 1,661,760 | 1,618,830 | 1,605,790 | 1,564,860 | 1,532,820 | 1,506,920 | 1,494,860 | 1,501,770 | 1,480,080 | 1,449,730 | 1,457,570 | 1,440,300 | 1,432,270 | 1,407,590 | 1,145,350 | 1,137,200 | 1,137,200 | 1,123,940 |
| Operating ROA | 0.67% | 0.35% | 1.78% | 1.14% | 0.74% | 0.26% | -0.18% | -0.33% | -1.10% | -1.32% | -1.44% | -1.41% | -1.09% | -1.50% | -1.80% | -2.55% | -4.36% | -3.38% | -2.74% | -1.44% |
December 31, 2024 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $11,376K ÷ $1,696,970K
= 0.67%
From June 30, 2020, to December 31, 2024, Shake Shack Inc's operating return on assets (operating ROA) has shown improvement. The operating ROA started at a negative -1.44% in June 2020 and reached a peak of 1.78% by June 30, 2024. This indicates that Shake Shack has been able to generate more operating income relative to its assets over this period.
Despite fluctuations, there is an overall positive trend in the operating ROA, with a notable increase from negative values to positive ones. This suggests that the company has been able to enhance operational efficiency and profitability in the utilization of its assets.
It is important to note that a positive operating ROA indicates that the company is generating more operating income than the assets employed, which is a favorable sign for investors and stakeholders. However, ongoing monitoring of this ratio is essential to ensure sustained performance and value creation for the company and its shareholders.
Peer comparison
Dec 31, 2024