Scotts Miracle-Gro Company (SMG)
Operating return on assets (Operating ROA)
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | -179,900 | -174,400 | 17,800 | -622,000 | -440,300 | -433,900 | -247,200 | 617,400 | 653,600 | 723,000 | 769,800 | 752,200 | 681,800 | 585,200 | 521,700 | 495,400 | 431,900 | 409,600 | 316,300 | 243,800 |
| Total assets | US$ in thousands | 3,716,100 | 3,413,700 | 4,454,400 | 4,988,100 | 4,534,000 | 4,296,800 | 4,993,700 | 6,207,500 | 5,242,200 | 4,800,000 | 4,621,100 | 4,934,100 | 4,000,700 | 3,380,500 | 3,876,800 | 4,135,700 | 3,456,000 | 3,028,700 | 3,467,400 | 3,956,500 |
| Operating ROA | -4.84% | -5.11% | 0.40% | -12.47% | -9.71% | -10.10% | -4.95% | 9.95% | 12.47% | 15.06% | 16.66% | 15.24% | 17.04% | 17.31% | 13.46% | 11.98% | 12.50% | 13.52% | 9.12% | 6.16% |
December 31, 2023 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $-179,900K ÷ $3,716,100K
= -4.84%
The operating return on assets (ROA) of Scotts Miracle-Gro Company has exhibited fluctuating trends over the past few quarters. The company's performance in generating operating income relative to its assets has varied significantly.
From March 2019 to March 2020, there was a general upward trend in operating ROA, with values ranging between 9.12% and 13.52%. This indicated an improvement in the company's ability to generate operating income from its assets during this period.
However, starting from December 2020, there was a noticeable decline in operating ROA, with negative values recorded in some quarters. The operating ROA plummeted to -12.47% in March 2023, indicating the company's challenges in efficiently utilizing its assets to generate operating income.
It is crucial for Scotts Miracle-Gro Company to closely monitor and address the factors impacting its operating ROA to ensure sustainable profitability and efficient asset utilization.
Peer comparison
Dec 31, 2023