Xerox Corp (XRX)
Operating return on assets (Operating ROA)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 3,377,000 | 3,547,000 | 3,717,000 | 3,077,000 | 4,692,000 |
| Total assets | US$ in thousands | 10,008,000 | 11,543,000 | 13,223,000 | 14,741,000 | 15,047,000 |
| Operating ROA | 33.74% | 30.73% | 28.11% | 20.87% | 31.18% |
December 31, 2023 calculation
Operating ROA = Operating income ÷ Total assets
= $3,377,000K ÷ $10,008,000K
= 33.74%
Xerox Holdings Corp's operating return on assets (operating ROA) has shown fluctuations over the past five years. In 2019, the operating ROA was relatively high at 7.62%, indicating that the company generated a significant amount of operating income for each dollar of assets. However, this figure declined in the subsequent years, reaching its lowest point in 2022 at 1.84%.
In 2023, there was a notable improvement in operating ROA to 3.46%, signaling a recovery in the company's ability to generate operating income from its assets. Despite the increase, the operating ROA in 2023 is still lower than the levels seen in 2019.
The fluctuation in Xerox Holdings Corp's operating ROA suggests variations in the company's operational efficiency and asset utilization over the years. Further analysis of the company's financial performance and operational strategies would be necessary to understand the factors driving these changes in operating ROA.
Peer comparison
Dec 31, 2023