Toll Brothers Inc (TOL)

Return on assets (ROA)

		Jan 31, 2024	Oct 31, 2023	Jul 31, 2023	Apr 30, 2023	Jan 31, 2023	Oct 31, 2022	Jul 31, 2022	Apr 30, 2022	Jan 31, 2022	Oct 31, 2021	Jul 31, 2021	Apr 30, 2021	Jan 31, 2021	Oct 31, 2020	Jul 31, 2020	Apr 30, 2020	Jan 31, 2020	Oct 31, 2019	Jul 31, 2019	Apr 30, 2019
Net income (ttm)	US$ in thousands	1,420,099	1,372,071	1,567,071	1,425,749	1,326,126	1,286,500	1,020,294	981,759	889,032	833,627	658,614	538,443	486,247	446,624	449,622	481,179	534,833	590,007	698,668	745,608
Total assets	US$ in thousands	12,522,000	12,527,000	12,353,700	11,989,500	11,984,900	12,288,700	11,743,300	11,544,600	11,283,900	11,537,800	11,264,100	10,975,000	10,864,000	11,065,700	10,537,400	10,810,800	10,587,200	10,828,100	10,452,100	10,276,700
ROA		11.34%	10.95%	12.69%	11.89%	11.06%	10.47%	8.69%	8.50%	7.88%	7.23%	5.85%	4.91%	4.48%	4.04%	4.27%	4.45%	5.05%	5.45%	6.68%	7.26%

January 31, 2024 calculation

ROA = Net income (ttm) ÷ Total assets
= $1,420,099K ÷ $12,522,000K
= 11.34%

To analyze Toll Brothers Inc.'s return on assets (ROA) over the past eight quarters, we observe fluctuations in the ROA metric. ROA ranged from 8.50% in Q2 2022 to a peak of 12.69% in Q3 2023, indicating variability in the company's ability to generate profits relative to its total assets during this period. The ROA showed a generally increasing trend from Q2 2022 to Q3 2023, followed by a slight decline in Q4 2023 and Q1 2024.

Overall, the company's ROA performance indicates a relatively healthy profitability relative to its asset base, with Q3 2023 standing out as a period of particularly strong performance. However, sustained monitoring of ROA trends is necessary to assess Toll Brothers Inc.'s continued effectiveness in generating earnings from its assets.