Return on Assets (ROA)
since 2005
Calculation
O’Reilly Automotive Inc., ROA, long-term trends, calculation
| ROA | = | 100 | × | Net income1 | ÷ | Total assets1 | |
|---|---|---|---|---|---|---|---|
| Dec 31, 2021 | 18.47% | = | 100 | × | 2,164,685) | ÷ | 11,718,707) |
| Dec 31, 2020 | 15.11% | = | 100 | × | 1,752,302) | ÷ | 11,596,642) |
| Dec 31, 2019 | 12.98% | = | 100 | × | 1,391,042) | ÷ | 10,717,160) |
| Dec 31, 2018 | 16.60% | = | 100 | × | 1,324,487) | ÷ | 7,980,789) |
| Dec 31, 2017 | 14.97% | = | 100 | × | 1,133,804) | ÷ | 7,571,885) |
| Dec 31, 2016 | 14.40% | = | 100 | × | 1,037,691) | ÷ | 7,204,189) |
| Dec 31, 2015 | 13.95% | = | 100 | × | 931,216) | ÷ | 6,676,684) |
| Dec 31, 2014 | 11.90% | = | 100 | × | 778,182) | ÷ | 6,540,301) |
| Dec 31, 2013 | 11.05% | = | 100 | × | 670,292) | ÷ | 6,067,208) |
| Dec 31, 2012 | 10.19% | = | 100 | × | 585,746) | ÷ | 5,749,187) |
| Dec 31, 2011 | 9.23% | = | 100 | × | 507,673) | ÷ | 5,500,501) |
| Dec 31, 2010 | 8.31% | = | 100 | × | 419,373) | ÷ | 5,047,827) |
| Dec 31, 2009 | 6.43% | = | 100 | × | 307,498) | ÷ | 4,781,471) |
| Dec 31, 2008 | 4.44% | = | 100 | × | 186,232) | ÷ | 4,193,317) |
| Dec 31, 2007 | 8.51% | = | 100 | × | 193,988) | ÷ | 2,279,737) |
| Dec 31, 2006 | 9.01% | = | 100 | × | 178,085) | ÷ | 1,977,496) |
| Dec 31, 2005 | 9.58% | = | 100 | × | 164,266) | ÷ | 1,713,899) |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
1 US$ in thousands
Between 2005 and 2021, a consistent upward trajectory in both net income and total assets is observed, although the efficiency of asset utilization, as measured by Return on Assets (ROA), experienced periods of volatility before reaching a peak at the end of the period.
- Net Income Trends
- Net income demonstrated sustained growth over the 16-year period, rising from 164.27 million US dollars in 2005 to 2.16 billion US dollars in 2021. While growth was steady in the early years, a notable acceleration occurred after 2009, with income eventually exceeding 1 billion US dollars annually starting in 2015.
- Total Asset Expansion
- The asset base expanded significantly from 1.71 billion US dollars in 2005 to 11.72 billion US dollars by 2021. A substantial increase in total assets was recorded between 2007 and 2008, where assets nearly doubled from 2.28 billion to 4.19 billion US dollars, indicating a period of aggressive expansion or acquisition.
- Return on Assets (ROA) Performance
- The ROA exhibited three distinct phases. First, a period of decline occurred from 2005 to 2008, reaching a low of 4.44% in 2008, coinciding with the sharp increase in total assets. Second, a recovery and growth phase took place from 2009 to 2018, during which ROA climbed steadily from 6.43% to a high of 16.60%. Third, after a brief contraction to 12.98% in 2019, the ratio rebounded strongly, ending the period at its highest recorded level of 18.47% in 2021.
- Profitability and Asset Efficiency Correlation
- The data indicates that while assets grew consistently, net income growth eventually outpaced asset expansion in the latter half of the period. The transition from a 4.44% ROA in 2008 to 18.47% in 2021 suggests a significant improvement in operational efficiency and the ability to generate higher profits from each dollar of assets employed.
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Comparison to Competitors
O’Reilly Automotive Inc., ROA, long-term trends, comparison to competitors
| O’Reilly Automotive Inc. | Amazon.com Inc. | Home Depot Inc. | Lowe’s Cos. Inc. | TJX Cos. Inc. | |
|---|---|---|---|---|---|
| Dec 31, 2021 | 18.47% | 7.93% | 18.23% | 12.49% | 0.29% |
| Dec 31, 2020 | 15.11% | 6.64% | 21.94% | 10.85% | 13.55% |
| Dec 31, 2019 | 12.98% | 5.14% | 25.27% | 6.71% | 21.36% |
| Dec 31, 2018 | 16.60% | 6.19% | 19.38% | 9.77% | 18.55% |
| Dec 31, 2017 | 14.97% | 2.31% | 18.52% | 8.99% | 17.84% |
| Dec 31, 2016 | 14.40% | 2.84% | 16.47% | 8.14% | 19.81% |
| Dec 31, 2015 | 13.95% | 0.91% | 15.88% | 8.48% | 19.91% |
| Dec 31, 2014 | 11.90% | -0.44% | 13.29% | 6.98% | 20.95% |
| Dec 31, 2013 | 11.05% | 0.68% | 11.04% | 6.00% | 20.05% |
| Dec 31, 2012 | 10.19% | -0.12% | 9.58% | 5.48% | 18.07% |
| Dec 31, 2011 | 9.23% | 2.50% | 8.32% | 5.96% | 16.85% |
| Dec 31, 2010 | 8.31% | 6.13% | 6.51% | 5.40% | 16.26% |
| Dec 31, 2009 | 6.43% | 6.53% | 5.49% | 6.72% | 14.25% |
| Dec 31, 2008 | 4.44% | 7.76% | 9.92% | 9.10% | 11.69% |
| Dec 31, 2007 | 8.51% | 7.34% | 11.02% | 11.18% | 12.13% |
| Dec 31, 2006 | 9.01% | 4.35% | 13.12% | 11.23% | 12.56% |
| Dec 31, 2005 | 9.58% | 9.71% | 12.85% | 10.26% | 13.09% |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
Comparison to Sector (Consumer Discretionary Distribution & Retail)
O’Reilly Automotive Inc., ROA, long-term trends, comparison to sector (consumer discretionary distribution & retail)
| O’Reilly Automotive Inc. | Consumer Discretionary Distribution & Retail | |
|---|---|---|
| Dec 31, 2021 | 18.47% | 9.17% |
| Dec 31, 2020 | 15.11% | 9.20% |
| Dec 31, 2019 | 12.98% | 8.83% |
| Dec 31, 2018 | 16.60% | 9.65% |
| Dec 31, 2017 | 14.97% | 7.39% |
| Dec 31, 2016 | 14.40% | 8.42% |
| Dec 31, 2015 | 13.95% | 7.99% |
| Dec 31, 2014 | 11.90% | 6.94% |
| Dec 31, 2013 | 11.05% | 7.03% |
| Dec 31, 2012 | 10.19% | 6.25% |
| Dec 31, 2011 | 9.23% | 6.84% |
| Dec 31, 2010 | 8.31% | 6.80% |
| Dec 31, 2009 | 6.43% | 6.65% |
| Dec 31, 2008 | 4.44% | 9.57% |
| Dec 31, 2007 | 8.51% | 10.89% |
| Dec 31, 2006 | 9.01% | 12.01% |
| Dec 31, 2005 | 9.58% | 11.90% |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
Comparison to Industry (Consumer Discretionary)
O’Reilly Automotive Inc., ROA, long-term trends, comparison to industry (consumer discretionary)
| O’Reilly Automotive Inc. | Consumer Discretionary | |
|---|---|---|
| Dec 31, 2021 | 18.47% | 7.99% |
| Dec 31, 2020 | 15.11% | 4.36% |
| Dec 31, 2019 | 12.98% | 5.57% |
| Dec 31, 2018 | 16.60% | 5.96% |
| Dec 31, 2017 | 14.97% | 4.05% |
| Dec 31, 2016 | 14.40% | 5.57% |
| Dec 31, 2015 | 13.95% | 6.25% |
| Dec 31, 2014 | 11.90% | 4.75% |
| Dec 31, 2013 | 11.05% | 5.52% |
| Dec 31, 2012 | 10.19% | 5.65% |
| Dec 31, 2011 | 9.23% | 9.48% |
| Dec 31, 2010 | 8.31% | 6.05% |
| Dec 31, 2009 | 6.43% | 4.67% |
| Dec 31, 2008 | 4.44% | 0.21% |
| Dec 31, 2007 | 8.51% | 2.85% |
| Dec 31, 2006 | 9.01% | 0.60% |
| Dec 31, 2005 | 9.58% | 3.80% |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).