Ulta Beauty Inc (ULTA)

Return on assets (ROA)

		Jan 31, 2025	Feb 3, 2024	Jan 31, 2024	Jan 31, 2023	Jan 28, 2023
Net income	US$ in thousands	1,201,120	1,291,000	1,291,000	1,242,410	1,242,410
Total assets	US$ in thousands	6,001,690	5,707,010	5,707,010	5,370,410	5,370,410
ROA		20.01%	22.62%	22.62%	23.13%	23.13%

January 31, 2025 calculation

ROA = Net income ÷ Total assets
= $1,201,120K ÷ $6,001,690K
= 20.01%

Ulta Beauty Inc's return on assets (ROA) has exhibited a downward trend over the past few years. As of January 31, 2025, the ROA stands at 20.01%, which reflects a decrease from the previous years. While Ulta Beauty Inc's ROA remains relatively strong compared to industry averages, the decline indicates a potential decrease in the company's efficiency in generating profit from its assets. It is essential for Ulta Beauty Inc to assess the factors contributing to this decline and implement strategies to improve its ROA in order to enhance overall profitability and efficiency.