TripAdvisor Inc (TRIP)
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 | 114,000 | 129,000 | 123,000 | 129,000 | 139,000 | 98,000 | 104,000 | 123,000 | 106,000 | 84,000 | 30,000 | -68,000 | -131,000 | -195,000 | -257,000 | -386,000 | -329,000 | -214,000 | -100,000 | 130,000 |
| Total assets | US$ in thousands | 2,561,000 | 2,733,000 | 2,779,000 | 2,738,000 | 2,537,000 | 2,636,000 | 2,734,000 | 2,684,000 | 2,569,000 | 2,565,000 | 2,612,000 | 2,372,000 | 2,289,000 | 2,312,000 | 2,387,000 | 2,232,000 | 1,969,000 | 1,996,000 | 2,249,000 | 2,427,000 |
| Operating ROA | 4.45% | 4.72% | 4.43% | 4.71% | 5.48% | 3.72% | 3.80% | 4.58% | 4.13% | 3.27% | 1.15% | -2.87% | -5.72% | -8.43% | -10.77% | -17.29% | -16.71% | -10.72% | -4.45% | 5.36% |
December 31, 2024 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $114,000K ÷ $2,561,000K
= 4.45%
Operating return on assets (operating ROA) is a key financial ratio that measures a company's efficiency in generating operating profit from its assets. The trend analysis of TripAdvisor Inc's operating ROA from March 31, 2020, to December 31, 2024, reveals fluctuations and improvements in the company's asset utilization and profitability.
The operating ROA started at 5.36% in March 2020 but turned negative in the following quarters, reaching a low of -16.71% in December 2020. This indicates that TripAdvisor was struggling to generate operating profit relative to its assets during this period. However, there was a notable improvement in the operating ROA from March 31, 2022, onwards, with the ratio turning positive and increasing gradually.
By June 30, 2024, TripAdvisor's operating ROA stood at 4.43%, indicating that the company was able to enhance its operational efficiency and profitability relative to its asset base. The overall trend suggests that TripAdvisor made progress in optimizing its asset utilization and operational performance over the analyzed period, although challenges were evident in the earlier quarters.
Peer comparison
Dec 31, 2024