TRI Pointe Homes Inc (TPH)
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 | 564,505 | 579,082 | 523,040 | 442,219 | 418,851 | 507,737 | 615,465 | 723,831 | 746,516 | 673,875 | 654,990 | 629,137 | 605,040 | 563,495 | 492,926 | 418,151 | 366,506 | 363,274 | 343,925 | 300,010 |
| Total assets | US$ in thousands | 4,891,120 | 4,779,260 | 4,596,200 | 4,969,980 | 4,914,590 | 4,870,230 | 4,780,560 | 4,739,240 | 4,719,940 | 4,526,040 | 4,414,660 | 4,314,070 | 4,336,220 | 4,233,680 | 4,160,160 | 4,092,950 | 4,021,980 | 3,957,560 | 3,977,900 | 4,293,050 |
| Operating ROA | 11.54% | 12.12% | 11.38% | 8.90% | 8.52% | 10.43% | 12.87% | 15.27% | 15.82% | 14.89% | 14.84% | 14.58% | 13.95% | 13.31% | 11.85% | 10.22% | 9.11% | 9.18% | 8.65% | 6.99% |
December 31, 2024 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $564,505K ÷ $4,891,120K
= 11.54%
TRI Pointe Homes Inc's operating return on assets (ROA) has exhibited a generally positive trend over the analyzed periods, reflecting the company's operational efficiency and asset utilization. The operating ROA started at 6.99% in March 31, 2020, and showed a steady increase reaching a peak of 15.82% by December 31, 2022. This significant improvement from the initial observation demonstrates the company's ability to generate higher operating income relative to its total assets.
However, there was a slight decrease seen in the operating ROA from March 31, 2023, to June 30, 2024, possibly indicating challenges or changes in the company's operations or asset management during this period. Despite this decline, the operating ROA remained above the initial levels recorded in 2020, suggesting that TRI Pointe Homes Inc has still maintained a relatively efficient use of its assets to generate operating profits.
Overall, the increasing trend and peak performance of operating ROA until the end of 2022 are positive signs of TRI Pointe Homes Inc's ability to effectively manage its assets and operations to create value for its stakeholders. However, monitoring the fluctuations in operating ROA in the subsequent periods would be essential to assess the company's ongoing operational performance and efficiency in utilizing its assets to drive profitability.
Peer comparison
Dec 31, 2024