Urban Outfitters Inc (URBN)
Return on assets (ROA)
| Jan 31, 2025 | Jan 31, 2024 | Jan 31, 2023 | Jan 31, 2022 | Jan 31, 2021 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 402,462 | 287,674 | 159,699 | 310,616 | 1,236 |
| Total assets | US$ in thousands | 4,519,480 | 4,111,210 | 3,682,910 | 3,791,350 | 3,546,340 |
| ROA | 8.91% | 7.00% | 4.34% | 8.19% | 0.03% |
January 31, 2025 calculation
ROA = Net income ÷ Total assets
= $402,462K ÷ $4,519,480K
= 8.91%
The Return on Assets (ROA) for Urban Outfitters Inc has exhibited fluctuations over the past five years. In January 2021, the ROA was at a low of 0.03%, indicating that the company generated a minimal return relative to its total assets. Subsequently, there was a significant improvement in the company's performance, with the ROA increasing to 8.19% by January 2022. This sharp rise suggests that Urban Outfitters Inc became more efficient in utilizing its assets to generate profits.
However, in the following years, the ROA experienced fluctuations, dropping to 4.34% in January 2023, before rebounding to 7.00% in January 2024 and further increasing to 8.91% by January 2025. These fluctuations indicate varying levels of profitability relative to the company's total assets.
Overall, the upward trend in ROA from 2021 to 2025 signifies an improvement in Urban Outfitters Inc's ability to generate earnings from its assets, with the most recent ROA of 8.91% indicating a healthy return on investment for the company. It is essential for stakeholders to monitor this ratio to assess the company's efficiency in utilizing its assets effectively and sustainably.
Peer comparison
Jan 31, 2025