Terex Corporation (TEX)
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 | 526,400 | 589,100 | 630,100 | 646,900 | 636,300 | 641,400 | 599,200 | 493,200 | 420,000 | 369,000 | 322,400 | 341,000 | 328,000 | 289,800 | 252,100 | 137,000 | 68,400 | 59,700 | 109,600 | 228,200 |
| Total assets | US$ in thousands | 5,730,000 | 3,781,000 | 3,779,500 | 3,759,900 | 3,615,000 | 3,461,100 | 3,415,200 | 3,281,200 | 3,118,100 | 2,976,500 | 2,993,700 | 2,939,900 | 2,863,500 | 3,067,900 | 3,068,500 | 2,965,500 | 3,031,800 | 2,915,200 | 2,864,300 | 3,114,700 |
| Operating ROA | 9.19% | 15.58% | 16.67% | 17.21% | 17.60% | 18.53% | 17.55% | 15.03% | 13.47% | 12.40% | 10.77% | 11.60% | 11.45% | 9.45% | 8.22% | 4.62% | 2.26% | 2.05% | 3.83% | 7.33% |
December 31, 2024 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $526,400K ÷ $5,730,000K
= 9.19%
Operating Return on Assets (Operating ROA) is a financial ratio that measures a company's ability to generate operating income from its assets. For Terex Corporation, the Operating ROA has fluctuated over the past few years.
The trend shows a gradual decline in Operating ROA from 7.33% as of March 31, 2020, reaching a low of 2.05% by September 30, 2020. However, there was a subsequent increase in the ratio, hitting 18.53% by September 30, 2023.
In the most recent period, as of December 31, 2024, the Operating ROA decreased to 9.19%. This decline may suggest a decrease in operating efficiency or a change in the level of operating income relative to the total assets employed.
Overall, fluctuations in Terex Corporation's Operating ROA indicate changes in the company's operational performance and efficiency in utilizing its assets to generate operating income. Analysts may need to further investigate the factors driving these fluctuations to assess the company's financial health and performance.