Simply Good Foods Co (SMPL)

Return on assets (ROA)

		Feb 24, 2024	Nov 25, 2023	Aug 26, 2023	May 27, 2023	Feb 25, 2023	Nov 26, 2022	Aug 27, 2022	May 28, 2022	Feb 26, 2022	Nov 27, 2021	Aug 28, 2021	May 29, 2021	Feb 27, 2021	Nov 28, 2020	Aug 29, 2020	May 30, 2020	Feb 29, 2020	Nov 30, 2019	Aug 31, 2019	May 25, 2019
Net income (ttm)	US$ in thousands	140,757	133,276	133,575	127,060	130,463	123,282	108,574	96,693	63,754	19,079	40,880	-16,656	25,561	100,076	65,638	62,697	20,444	-15,135	-8,393	45,544
Total assets	US$ in thousands	2,147,570	2,115,060	2,097,080	2,080,000	2,088,680	2,093,060	2,094,250	2,114,660	2,087,900	2,043,340	2,052,220	2,039,120	2,021,520	2,015,220	2,008,440	2,040,140	2,001,350	2,016,060	1,141,650	1,124,610
ROA		6.55%	6.30%	6.37%	6.11%	6.25%	5.89%	5.18%	4.57%	3.05%	0.93%	1.99%	-0.82%	1.26%	4.97%	3.27%	3.07%	1.02%	-0.75%	-0.74%	4.05%

February 24, 2024 calculation

ROA = Net income (ttm) ÷ Total assets
= $140,757K ÷ $2,147,570K
= 6.55%

The return on assets (ROA) for Simply Good Foods Co has shown fluctuation over the past few periods. ROA has generally been positive and has improved over the last few periods, indicating that the company has been generating higher levels of profit relative to its total assets.

The ROA ranged from a low of -0.82% in August 2021 to a high of 6.55% in February 2024. This indicates that the company went from a period of generating negative returns on its assets to achieving a relatively strong return in the most recent period.

Overall, the increasing trend in ROA suggests that Simply Good Foods Co is becoming more efficient in its asset utilization and generating more profit from its assets over time. However, it's important to continue monitoring this ratio to ensure sustained improvement in the company's profitability and efficiency.