VF Corporation (VFC)

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	-95,978	-412,997	-336,361	-105,460	89,422	696,697	255,339	327,693	680,968	843,377	1,492,682	1,632,204	1,562,305	1,295,862	1,057,324	607,631	228,377	356,417	585,031	927,805
Total assets	US$ in thousands	10,554,200	12,219,600	11,541,400	11,613,000	12,616,500	13,142,400	14,043,900	13,990,500	14,313,300	13,784,100	13,211,800	13,342,200	13,536,300	13,889,100	13,550,400	13,754,000	13,744,300	12,941,300	12,479,000	11,133,300
Operating ROA		-0.91%	-3.38%	-2.91%	-0.91%	0.71%	5.30%	1.82%	2.34%	4.76%	6.12%	11.30%	12.23%	11.54%	9.33%	7.80%	4.42%	1.66%	2.75%	4.69%	8.33%

December 31, 2024 calculation

Operating ROA = Operating income (ttm) ÷ Total assets
= $-95,978K ÷ $10,554,200K
= -0.91%

The operating return on assets (ROA) of VF Corporation has shown fluctuations over the last few years. From March 31, 2020, where it stood at 8.33%, the operating ROA declined to 4.69% by June 30, 2020, and further dropped to 1.66% by December 31, 2020.

However, there was a subsequent improvement in the operating ROA, with an upward trend seen in 2021 and 2022. By December 31, 2022, the operating ROA reached 4.76%, marking a recovery from previous lows. This positive trend continued into the first quarter of 2023, with an operating ROA of 2.34%.

Nevertheless, the operating ROA started to decline again from June 30, 2023, reaching negative values by December 31, 2024, indicating a decrease in operating efficiency and profitability. It is important for VF Corporation to closely monitor and address the factors contributing to this decline to ensure sustainable performance in the future.