The Wendy’s Co (WEN)

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 370,757 357,998 364,926 375,295 378,617 379,372 375,904 362,911 353,314 346,194 328,254 358,719 366,960 368,630 369,783 303,698 269,308 227,458 225,133 245,045
Total assets US$ in thousands 5,034,840 5,073,220 5,088,160 5,189,770 5,616,090 5,290,450 5,353,750 5,408,030 5,499,340 5,524,990 5,515,580 5,563,100 5,101,390 5,156,950 5,166,870 4,956,670 5,040,010 4,963,020 5,070,360 4,981,720
Operating ROA 7.36% 7.06% 7.17% 7.23% 6.74% 7.17% 7.02% 6.71% 6.42% 6.27% 5.95% 6.45% 7.19% 7.15% 7.16% 6.13% 5.34% 4.58% 4.44% 4.92%

December 31, 2024 calculation

Operating ROA = Operating income (ttm) ÷ Total assets
= $370,757K ÷ $5,034,840K
= 7.36%

The Wendy's Co has shown a fluctuating trend in its operating return on assets (operating ROA) over the financial periods provided. From March 31, 2020, to December 31, 2024, the operating ROA ranged from a low of 4.44% to a high of 7.36%.

During this period, the operating ROA generally increased, showing signs of improvement in the company's ability to generate operating income from its assets. Notable increases were observed in the most recent periods, with the operating ROA reaching its peak at 7.36% by December 31, 2024.

It is essential to keep a close eye on the trends in operating ROA to assess Wendy's Co's operational efficiency and asset utilization over time. Overall, the increasing trend in operating ROA indicates a positive performance in generating earnings relative to its assets, reflecting improved operational effectiveness and potentially effective management strategies in place.


Peer comparison

Dec 31, 2024

Company name
Symbol
Operating ROA
The Wendy’s Co
WEN
7.36%
Shake Shack Inc
SHAK
0.67%
Starbucks Corporation
SBUX
17.26%