VF Corporation (VFC)

Operating return on assets (Operating ROA)

		Mar 31, 2025	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
Operating income (ttm)	US$ in thousands	186,900	-95,978	-353,987	-264,963	-34,062	160,820	709,085	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	615,534
Total assets	US$ in thousands	9,377,540	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
Operating ROA		1.99%	-0.91%	-2.90%	-2.30%	-0.29%	1.27%	5.40%	1.82%	2.34%	4.76%	6.12%	11.30%	12.23%	11.54%	9.33%	7.80%	4.42%	1.66%	2.75%	4.93%

March 31, 2025 calculation

Operating ROA = Operating income (ttm) ÷ Total assets
= $186,900K ÷ $9,377,540K
= 1.99%

The operating return on assets (operating ROA) of VF Corporation has shown fluctuations over the past few years.

Beginning in June 2020 with a rate of 5.24%, the operating ROA decreased to 3.05% by September 2020 before declining further to 1.66% by December 2020. Subsequently, there was a notable improvement in the operating ROA, reaching 7.80% by June 2021, and peaking at 12.85% by March 2023. However, in the following periods, the operating ROA displayed a downward trend, with levels dropping to 3.57% by December 2024.

The operating ROA provides insights into how efficiently VF Corporation is utilizing its assets to generate operating profits. A higher operating ROA indicates better operational efficiency and profitability, while a decreasing trend may raise concerns about the company's asset utilization and operational performance.

It is important for VF Corporation to closely monitor its operating ROA trend to ensure sustainable profitability and efficient asset management in the future.