Watsco Inc (WSO)
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 | 794,810 | 824,241 | 803,877 | 825,269 | 831,578 | 817,465 | 788,011 | 717,697 | 628,528 | 575,223 | 525,205 | 437,671 | 401,034 | 383,306 | 351,844 | 356,995 | 366,884 | 373,353 | 370,331 | 373,277 |
| Total assets | US$ in thousands | 3,729,180 | 4,039,070 | 4,103,010 | 3,800,610 | 3,488,210 | 3,584,590 | 3,788,590 | 3,473,890 | 3,085,860 | 3,090,920 | 3,131,680 | 2,692,260 | 2,484,350 | 2,647,680 | 2,636,730 | 2,581,830 | 2,556,160 | 2,693,060 | 2,632,430 | 2,398,940 |
| Operating ROA | 21.31% | 20.41% | 19.59% | 21.71% | 23.84% | 22.80% | 20.80% | 20.66% | 20.37% | 18.61% | 16.77% | 16.26% | 16.14% | 14.48% | 13.34% | 13.83% | 14.35% | 13.86% | 14.07% | 15.56% |
December 31, 2023 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $794,810K ÷ $3,729,180K
= 21.31%
Watsco Inc.'s operating return on assets (operating ROA) has displayed a consistent trend over the past eight quarters. The operating ROA has ranged from 19.03% to 23.19%, with the highest value recorded in Q4 2022. Generally, the company has maintained a strong operating ROA above 20% in recent quarters, indicating efficient utilization of its assets to generate operating profits. While there was a slight decrease in Q2 and Q3 2023 compared to the previous quarters, the operating ROA remains at healthy levels. Overall, Watsco Inc.'s operating performance in terms of return on assets appears to be robust and stable.