Vulcan Materials Company (VMC)

Operating return on assets (Operating ROA)

		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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Operating income (ttm)	US$ in thousands	1,427,300	1,248,700	1,135,200	991,700	951,500	971,400	928,400	908,300	1,010,800	995,830	1,021,534	1,032,930	895,731	892,876	908,148	885,326	877,458	870,374	816,182	770,951
Total assets	US$ in thousands	14,545,700	14,620,500	14,333,600	14,076,900	14,234,600	14,615,800	14,181,500	13,860,800	13,682,600	13,688,000	11,571,000	11,332,800	11,686,900	11,590,500	11,398,700	10,629,400	10,648,800	10,539,700	10,480,800	10,296,900
Operating ROA		9.81%	8.54%	7.92%	7.04%	6.68%	6.65%	6.55%	6.55%	7.39%	7.28%	8.83%	9.11%	7.66%	7.70%	7.97%	8.33%	8.24%	8.26%	7.79%	7.49%

December 31, 2023 calculation

Operating ROA = Operating income (ttm) ÷ Total assets
= $1,427,300K ÷ $14,545,700K
= 9.81%

Vulcan Materials Co's operating return on assets (operating ROA) has shown a consistent upward trend over the past eight quarters, indicating an improving operational efficiency in generating profits from its assets. The operating ROA increased from 6.51% in Q1 2022 to 9.48% in Q4 2023, reflecting a steady growth trajectory.

This positive trend suggests that the company has been able to enhance its profitability relative to its asset base. It is important to note that a higher operating ROA indicates that the company is utilizing its assets more effectively to generate earnings from its core operations.

Overall, Vulcan Materials Co's rising operating ROA signifies a strong operational performance and efficiency in utilizing its assets to generate profits, which is a positive indicator for investors and stakeholders.