Urban Outfitters Inc (URBN)

Operating return on assets (Operating 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
Operating income (ttm)	US$ in thousands	369,795	349,709	298,049	251,769	226,623	242,681	301,265	381,300	408,566	390,038	372,644	276,210	3,972	7,767	-15,472	-6,830	231,925	307,558	328,646	367,437
Total assets	US$ in thousands	4,111,210	4,109,660	3,969,940	3,792,670	3,682,910	3,720,120	3,653,430	3,642,310	3,791,350	3,890,610	3,742,890	3,579,610	3,546,340	3,530,680	3,425,280	3,356,200	3,315,630	3,320,590	3,138,040	3,251,820
Operating ROA		8.99%	8.51%	7.51%	6.64%	6.15%	6.52%	8.25%	10.47%	10.78%	10.03%	9.96%	7.72%	0.11%	0.22%	-0.45%	-0.20%	6.99%	9.26%	10.47%	11.30%

January 31, 2024 calculation

Operating ROA = Operating income (ttm) ÷ Total assets
= $369,795K ÷ $4,111,210K
= 8.99%

Urban Outfitters Inc's operating return on assets (operating ROA) has shown fluctuations over the periods analyzed. The company's operating ROA ranged from a low of -0.45% in July 2020 to a high of 11.30% in April 2019. In recent periods, the trend has been generally positive, with operating ROA increasing from 6.15% in January 2023 to 8.99% in January 2024. This indicates that the company has been able to generate improved operating income relative to its total assets.

However, it is important to note that there have been periods of volatility, such as the significant drop in operating ROA from 10.78% in January 2022 to 7.72% in April 2021. This suggests that there may have been challenges or changes impacting the company's profitability during those times.

Overall, Urban Outfitters Inc's operating ROA performance reflects a mix of positive and negative trends, indicating the company's ability to effectively utilize its assets to generate operating income but also highlighting potential areas of improvement in managing profitability. Further analysis of the company's financial performance and operational strategies may provide additional insights into the factors influencing its operating ROA over the analyzed periods.