Walmart Inc (WMT)
Operating return on assets (Operating ROA)
| Jan 31, 2024 | Jan 31, 2023 | Jan 31, 2022 | Jan 31, 2021 | Jan 31, 2020 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 27,012,000 | 20,428,000 | 25,942,000 | 22,548,000 | 20,568,000 |
| Total assets | US$ in thousands | 252,399,000 | 243,197,000 | 244,860,000 | 252,496,000 | 236,495,000 |
| Operating ROA | 10.70% | 8.40% | 10.59% | 8.93% | 8.70% |
January 31, 2024 calculation
Operating ROA = Operating income ÷ Total assets
= $27,012,000K ÷ $252,399,000K
= 10.70%
Operating return on assets (operating ROA) is a key financial ratio that measures a company's operating profit as a percentage of its total assets. Looking at Walmart Inc's operating ROA over the past five years, we can see a fluctuating trend.
In the most recent fiscal year ending January 31, 2024, Walmart Inc's operating ROA stood at 10.70%, marking an increase from the previous year's 8.40%. This improvement suggests that the company was able to generate more operating profit relative to its total assets, which is a positive sign of operational efficiency.
Comparing this to the prior years, Walmart's operating ROA was 10.59% in 2022, 8.93% in 2021, and 8.70% in 2020. This indicates some variability in the company's ability to generate profits from its asset base over the years.
Overall, Walmart Inc's operating ROA has shown a mixed performance over the past five years, with some fluctuations, but the recent increase in 2024 is a positive indicator of the company's improved operational efficiency. It will be important to monitor future trends to assess the company's ability to consistently generate profits from its assets effectively.
Peer comparison
Jan 31, 2024