Walmart Inc (WMT)
Operating return on assets (Operating ROA)
| Jan 31, 2024 | Oct 31, 2023 | Jul 31, 2023 | Apr 30, 2023 | Jan 31, 2023 | Oct 31, 2022 | Jul 31, 2022 | Apr 30, 2022 | Jan 31, 2022 | Oct 31, 2021 | Jul 31, 2021 | Apr 30, 2021 | Jan 31, 2021 | Oct 31, 2020 | Jul 31, 2020 | Apr 30, 2020 | Jan 31, 2020 | Oct 31, 2019 | Jul 31, 2019 | Apr 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | 27,012,000 | 25,319,000 | 21,812,000 | 21,350,000 | 20,428,000 | 20,754,000 | 23,851,000 | 24,351,000 | 25,942,000 | 25,542,000 | 25,528,000 | 24,233,000 | 22,548,000 | 22,383,000 | 21,323,000 | 20,847,000 | 20,568,000 | 21,313,000 | 21,581,000 | 21,748,000 |
| Total assets | US$ in thousands | 252,399,000 | 259,174,000 | 255,121,000 | 245,053,000 | 243,197,000 | 247,656,000 | 247,199,000 | 246,142,000 | 244,860,000 | 244,851,000 | 238,552,000 | 236,581,000 | 252,496,000 | 250,863,000 | 237,382,000 | 232,892,000 | 236,495,000 | 239,830,000 | 234,861,000 | 234,544,000 |
| Operating ROA | 10.70% | 9.77% | 8.55% | 8.71% | 8.40% | 8.38% | 9.65% | 9.89% | 10.59% | 10.43% | 10.70% | 10.24% | 8.93% | 8.92% | 8.98% | 8.95% | 8.70% | 8.89% | 9.19% | 9.27% |
January 31, 2024 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $27,012,000K ÷ $252,399,000K
= 10.70%
Operating return on assets (ROA) is a key financial metric that indicates how efficiently a company generates operating income relative to its total assets. Walmart Inc's operating ROA has shown some fluctuations over the past several quarters, ranging from 8.55% to 10.70%. The trend indicates that Walmart's management has been able to consistently achieve a reasonable return on the assets deployed in its operations.
The highest operating ROA of 10.70% was recorded in January 2022 and again in January 2024, showcasing relatively strong performance in those periods. Conversely, the lowest operating ROA of 8.55% was observed in July 2023, albeit still within a reasonable range for a company of Walmart's size and industry.
Overall, Walmart's operating ROA has generally remained above 8%, demonstrating that the company effectively utilizes its assets to generate operating income. Investors and stakeholders may view this as a positive sign of operational efficiency and profitability within the organization. However, it is essential for Walmart to continue monitoring and improving its operating ROA to sustain its financial performance and shareholder value in the long term.
Peer comparison
Jan 31, 2024