Analysis of Profitability Ratios
Quarterly Data
Profitability ratios measure the company ability to generate profitable sales from its resources (assets).
Profitability Ratios (Summary)
Old Dominion Freight Line Inc., profitability ratios (quarterly data)
Based on: 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31).
- Operating Profit Margin
- The operating profit margin data begins from March 2018 with missing values prior to this period. From the first recorded value of 20.21% in March 2018, the margin demonstrates a generally increasing trend over the observed periods. There is a slight dip observed in March and June 2020, correlating potentially with broader economic disruptions. However, the trend quickly reverses, rising steadily to reach a peak of 29.4% in March 2023 before a small decline to 28.58% in June 2023. This overall upward trajectory indicates improving operational efficiency and profitability over the five-year span.
- Net Profit Margin
- Net profit margin follows a generally positive progression similar to operating margin. Starting at 14.98% in March 2018, it shows modest fluctuations with slight decreases observed in early 2020, likely reflecting external stress factors impacting net profitability. The margin recovers and continues to increase, peaking at 22.00% in March 2023 before a slight decline to 21.49% in June 2023. The consistent improvement suggests effective cost control and revenue management, enhancing bottom-line profitability.
- Return on Equity (ROE)
- Return on equity starts at 22.6% in March 2018 and shows some volatility in the early periods, including a minor decline in late 2019 and early 2020. From mid-2020 onward, ROE increases significantly, reaching a peak of 37.7% in March 2023. This rise indicates a stronger ability to generate shareholder returns from equity capital, possibly driven by increased profitability and efficient equity utilization. A slight decrease follows to 33.37% by June 2023, though the figure remains substantially higher compared to earlier years.
- Return on Assets (ROA)
- The return on assets trends similarly with initial values around 17.08% in March 2018 and a period of minor decline toward the end of 2019 and early 2020. After this phase, ROA steadily improves, reaching 28.46% in March 2023 before a mild drop to 25.68% in June 2023. This trend reflects more effective asset utilization and overall operational performance enhancement, indicating that asset base efficiency has improved considerably over the reviewed periods.
- Summary Insights
- Across all four key profitability measures—operating profit margin, net profit margin, return on equity, and return on assets—there is a clear pattern of growth with a temporary dip during the early part of 2020, which may align with macroeconomic disruptions in that period. The sustained upward trends post-2020 suggest continuous improvements in operational efficiency, profitability, and capital utilization. Despite minor recent declines in the second quarter of 2023, the overall financial performance exhibits robust resilience and positive momentum over the five-year timeframe.
Return on Sales
Return on Investment
Operating Profit Margin
Old Dominion Freight Line Inc., operating profit margin calculation (quarterly data)
| 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 | Dec 31, 2018 | Sep 30, 2018 | Jun 30, 2018 | Mar 31, 2018 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||||||||||||||||||||||||||
| Operating income | 391,594) | 383,049) | 430,229) | 496,080) | 508,705) | 405,618) | 372,491) | 383,410) | 366,044) | 269,657) | 254,302) | 270,244) | 199,166) | 183,170) | 188,264) | 217,527) | 234,489) | 178,426) | 218,845) | 228,385) | 220,481) | 149,340) | |||||||
| Revenue from operations | 1,413,189) | 1,442,136) | 1,491,659) | 1,603,690) | 1,667,448) | 1,497,280) | 1,410,358) | 1,400,046) | 1,319,409) | 1,126,515) | 1,073,389) | 1,058,166) | 896,210) | 987,364) | 1,009,206) | 1,048,457) | 1,060,666) | 990,782) | 1,026,944) | 1,058,233) | 1,033,498) | 925,020) | |||||||
| Profitability Ratio | |||||||||||||||||||||||||||||
| Operating profit margin1 | 28.58% | 29.30% | 29.40% | 28.86% | 27.95% | 27.15% | 26.47% | 25.89% | 25.35% | 23.91% | 22.59% | 21.28% | 20.00% | 20.06% | 19.92% | 20.58% | 20.79% | 20.59% | 20.21% | — | — | — | |||||||
| Benchmarks | |||||||||||||||||||||||||||||
| Operating Profit Margin, Competitors2 | |||||||||||||||||||||||||||||
| FedEx Corp. | 5.97% | 6.37% | 6.68% | 6.67% | 6.47% | 6.54% | 6.98% | 5.76% | 5.27% | 4.24% | 3.49% | 4.68% | 5.43% | 6.27% | 6.41% | — | — | — | — | — | — | — | |||||||
| Uber Technologies Inc. | -1.64% | -4.76% | -5.75% | -7.71% | -9.07% | -13.04% | -21.97% | -28.04% | -36.73% | -47.47% | -43.66% | — | — | — | — | — | — | — | — | — | — | — | |||||||
| Union Pacific Corp. | 38.53% | 39.22% | 39.87% | 40.71% | 41.59% | 42.90% | 42.83% | 41.98% | 41.35% | 39.80% | 40.11% | — | — | — | — | — | — | — | — | — | — | — | |||||||
| United Airlines Holdings Inc. | 8.47% | 7.52% | 5.20% | 1.35% | 0.37% | -3.51% | -4.15% | -13.85% | -37.01% | -63.87% | -41.41% | — | — | — | — | — | — | — | — | — | — | — | |||||||
| United Parcel Service Inc. | 12.09% | 12.52% | 13.05% | 13.64% | 13.56% | 13.46% | 13.17% | 11.60% | 11.27% | 10.48% | 9.08% | — | — | — | — | — | — | — | — | — | — | — | |||||||
Based on: 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31).
1 Q2 2023 Calculation
Operating profit margin = 100
× (Operating incomeQ2 2023
+ Operating incomeQ1 2023
+ Operating incomeQ4 2022
+ Operating incomeQ3 2022)
÷ (Revenue from operationsQ2 2023
+ Revenue from operationsQ1 2023
+ Revenue from operationsQ4 2022
+ Revenue from operationsQ3 2022)
= 100 × (391,594 + 383,049 + 430,229 + 496,080)
÷ (1,413,189 + 1,442,136 + 1,491,659 + 1,603,690)
= 28.58%
2 Click competitor name to see calculations.
- Operating Income Trend
- Operating income fluctuated over the observed periods but demonstrated an overall upward trajectory from 2018 to mid-2022. Starting at approximately $149 million in March 2018, it peaked notably in the second and third quarters of 2021, reaching above $360 million and $380 million, respectively. The highest recorded operating income occurred in mid-2022, surpassing $500 million. However, a decline is evident beginning late 2022 and extending into 2023, with values decreasing back to around $380 million by the first quarter of 2023.
- Revenue from Operations Analysis
- Revenue displayed moderate variability but generally increased from just under $1 billion in early 2018 to over $1.4 billion by late 2021 and early 2022. The data shows a dip around mid-2020, falling below $900 million, potentially reflecting external factors impacting revenue. Following this decrease, a recovery and steady growth trend is observed through 2021 and into early 2022, with peak revenues exceeding $1.6 billion. Subsequent to this peak, revenues began to decline gradually throughout late 2022 and the first half of 2023.
- Operating Profit Margin Developments
- The operating profit margin exhibits a clear positive trend, increasing consistently over time. Starting near 20% in early 2019, it climbed steadily to reach close to 29% by mid-2022. The margin peaked during the middle of 2022 and showed a slight decline from around 29.4% to approximately 28.6% by mid-2023, indicating a minor contraction in profitability as a percentage of revenue towards the end of the period analyzed.
- Summary of Financial Performance Patterns
- Overall, the financial performance indicators portray growth in both revenue and operating income from 2018 through early 2022, with margins improving steadily, reflecting enhanced operational efficiency or pricing power. The downturn in revenue and operating income starting in late 2022 along with a modest margin decline through 2023 suggests a period of market or operational challenges impacting profitability. The synchronization of reduced revenues and income implies that the company experienced pressures affecting top-line sales and bottom-line results simultaneously in the most recent quarters.
Net Profit Margin
Old Dominion Freight Line Inc., net profit margin calculation (quarterly data)
| Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | Dec 31, 2018 | Sep 30, 2018 | Jun 30, 2018 | Mar 31, 2018 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||||||||||||||||||||||||||
| Net income | 292,362) | 285,038) | 323,929) | 377,401) | 376,078) | 299,751) | 278,806) | 286,634) | 269,576) | 199,359) | 189,832) | 201,868) | 147,805) | 133,177) | 144,024) | 164,099) | 174,072) | 133,323) | 159,459) | 173,442) | 163,434) | 109,333) | |||||||
| Revenue from operations | 1,413,189) | 1,442,136) | 1,491,659) | 1,603,690) | 1,667,448) | 1,497,280) | 1,410,358) | 1,400,046) | 1,319,409) | 1,126,515) | 1,073,389) | 1,058,166) | 896,210) | 987,364) | 1,009,206) | 1,048,457) | 1,060,666) | 990,782) | 1,026,944) | 1,058,233) | 1,033,498) | 925,020) | |||||||
| Profitability Ratio | |||||||||||||||||||||||||||||
| Net profit margin1 | 21.49% | 21.96% | 22.00% | 21.56% | 20.77% | 20.17% | 19.68% | 19.22% | 18.80% | 17.79% | 16.75% | 15.87% | 14.95% | 14.99% | 14.98% | 15.29% | 15.48% | 15.32% | 14.98% | — | — | — | |||||||
| Benchmarks | |||||||||||||||||||||||||||||
| Net Profit Margin, Competitors2 | |||||||||||||||||||||||||||||
| FedEx Corp. | 3.54% | 3.79% | 4.09% | 5.60% | 5.49% | 5.88% | 6.23% | 3.85% | 3.28% | 2.50% | 1.86% | -0.50% | 0.11% | 0.65% | 0.77% | — | — | — | — | — | — | — | |||||||
| Uber Technologies Inc. | -1.07% | -9.95% | -28.68% | -30.45% | -39.39% | -29.52% | -2.84% | -15.87% | -7.97% | -36.50% | -60.76% | — | — | — | — | — | — | — | — | — | — | — | |||||||
| Union Pacific Corp. | 27.18% | 27.91% | 28.13% | 28.95% | 29.23% | 30.06% | 29.92% | 29.19% | 28.60% | 27.02% | 27.38% | — | — | — | — | — | — | — | — | — | — | — | |||||||
| United Airlines Holdings Inc. | 5.24% | 3.93% | 1.64% | -1.85% | -3.43% | -6.85% | -7.97% | -16.19% | -37.89% | -63.43% | -46.04% | — | — | — | — | — | — | — | — | — | — | — | |||||||
| United Parcel Service Inc. | 10.41% | 10.90% | 11.51% | 11.07% | 10.92% | 10.90% | 13.25% | 6.83% | 6.57% | 5.78% | 1.59% | — | — | — | — | — | — | — | — | — | — | — | |||||||
Based on: 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31).
1 Q2 2023 Calculation
Net profit margin = 100
× (Net incomeQ2 2023
+ Net incomeQ1 2023
+ Net incomeQ4 2022
+ Net incomeQ3 2022)
÷ (Revenue from operationsQ2 2023
+ Revenue from operationsQ1 2023
+ Revenue from operationsQ4 2022
+ Revenue from operationsQ3 2022)
= 100 × (292,362 + 285,038 + 323,929 + 377,401)
÷ (1,413,189 + 1,442,136 + 1,491,659 + 1,603,690)
= 21.49%
2 Click competitor name to see calculations.
- Net Income Trends
- Net income displayed a generally upward trajectory from March 31, 2018, through June 30, 2023, despite some fluctuations. The value increased from approximately 109 million USD in early 2018 to reach a peak of 377 million USD in the third quarter of 2022. Notably, there was a significant jump in net income during 2020, rising from around 133 million USD in the first quarter to nearly 202 million USD by the third quarter, sustaining elevated levels into 2021 with a peak close to 287 million USD in the third quarter. The trend continued upward until late 2022, after which net income experienced a moderate decline, ending at around 292 million USD by the second quarter of 2023.
- Revenue from Operations Trends
- Revenue from operations showed a consistent increase over the period analyzed, starting at approximately 925 million USD in the first quarter of 2018 and gradually climbing to more than 1.4 billion USD by the fourth quarter of 2021. Despite some slight decreases in late 2019 and 2020, the overall pattern is upward, with revenues peaking at about 1.67 billion USD in mid-2022. Afterwards, revenue experienced a mild decline into mid-2023, reaching approximately 1.41 billion USD. The revenue trend aligns with a general expansion phase with periodic seasonal or operational adjustments.
- Net Profit Margin Trends
- The net profit margin exhibited a steady improvement over the timeframe from early 2019 to mid-2023. Starting around 15% in the first quarter of 2019, it increased consistently quarter over quarter, surpassing 20% by the end of 2022 and maintaining levels close to 22% into the middle of 2023. This sustained increase in profit margin indicates enhanced operational efficiency or favorable cost structures, contributing to higher profitability relative to revenue.
- Overall Observations
- The data reflect a period of growth in both revenues and net income, accompanied by improving profitability margins. The financial performance suggests effective management of costs and possibly stronger pricing power or volume growth. Although there was some volatility during 2020, likely related to external factors impacting operations, the company rebounded strongly, achieving net income and margins at record levels by 2022. Slight declines observed in early 2023 point to potential challenges or normalization after peak performance periods. The increasing profit margin despite revenue fluctuations underscores an emphasis on operational efficiency.
Return on Equity (ROE)
Old Dominion Freight Line Inc., ROE calculation (quarterly data)
| 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 | Dec 31, 2018 | Sep 30, 2018 | Jun 30, 2018 | Mar 31, 2018 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||||||||||||||||||||||||||
| Net income | 292,362) | 285,038) | 323,929) | 377,401) | 376,078) | 299,751) | 278,806) | 286,634) | 269,576) | 199,359) | 189,832) | 201,868) | 147,805) | 133,177) | 144,024) | 164,099) | 174,072) | 133,323) | 159,459) | 173,442) | 163,434) | 109,333) | |||||||
| Shareholders’ equity | 3,832,035) | 3,746,499) | 3,652,917) | 3,558,170) | 3,555,829) | 3,503,307) | 3,679,807) | 3,419,898) | 3,402,378) | 3,191,917) | 3,326,288) | 3,170,833) | 2,982,468) | 3,016,049) | 3,080,717) | 2,909,528) | 2,798,485) | 2,770,371) | 2,680,483) | 2,616,932) | 2,482,051) | 2,358,751) | |||||||
| Profitability Ratio | |||||||||||||||||||||||||||||
| ROE1 | 33.37% | 36.37% | 37.70% | 37.44% | 34.91% | 32.39% | 28.11% | 27.64% | 25.30% | 23.15% | 20.22% | 19.77% | 19.75% | 20.40% | 19.98% | 21.69% | 22.88% | 22.73% | 22.60% | — | — | — | |||||||
| Benchmarks | |||||||||||||||||||||||||||||
| ROE, Competitors2 | |||||||||||||||||||||||||||||
| FedEx Corp. | 13.82% | 14.28% | 15.34% | 20.94% | 19.71% | 20.96% | 21.64% | 13.78% | 11.65% | 9.18% | 7.03% | -1.85% | 0.40% | 2.48% | 3.04% | — | — | — | — | — | — | — | |||||||
| Uber Technologies Inc. | -4.31% | -44.86% | -124.54% | -141.59% | -151.07% | -70.86% | -3.43% | -16.91% | -7.20% | -28.97% | -55.18% | — | — | — | — | — | — | — | — | — | — | — | |||||||
| Union Pacific Corp. | 51.02% | 56.19% | 57.54% | 60.21% | 53.89% | 57.26% | 46.06% | 44.49% | 41.12% | 32.09% | 31.54% | — | — | — | — | — | — | — | — | — | — | — | |||||||
| United Airlines Holdings Inc. | 34.60% | 28.79% | 10.69% | -15.35% | -30.80% | -54.75% | -39.05% | -59.20% | -112.74% | -129.12% | -118.61% | — | — | — | — | — | — | — | — | — | — | — | |||||||
| United Parcel Service Inc. | 50.02% | 53.80% | 58.36% | 65.94% | 67.12% | 69.80% | 90.44% | 53.57% | 56.25% | 72.34% | 204.41% | — | — | — | — | — | — | — | — | — | — | — | |||||||
Based on: 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31).
1 Q2 2023 Calculation
ROE = 100
× (Net incomeQ2 2023
+ Net incomeQ1 2023
+ Net incomeQ4 2022
+ Net incomeQ3 2022)
÷ Shareholders’ equity
= 100 × (292,362 + 285,038 + 323,929 + 377,401)
÷ 3,832,035 = 33.37%
2 Click competitor name to see calculations.
The financial data exhibits notable trends in net income, shareholders’ equity, and return on equity (ROE) over the observed periods.
- Net Income
- The net income figures reveal a general upward trajectory from 2018 through mid-2022, with fluctuations observed quarterly. Initial values around 109 million US$ in early 2018 increase to peaks surpassing 370 million US$ by mid-2022, demonstrating substantial growth in profitability. There are intermittent periods of decline, specifically between late 2022 and early 2023, where net income decreases to approximately 285 million US$, indicating potential volatility or cyclical factors affecting earnings.
- Shareholders’ Equity
- Shareholders’ equity consistently rises throughout the period, moving from approximately 2.36 billion US$ in early 2018 to over 3.83 billion US$ by mid-2023. This steady increase suggests sustained capital growth and accumulation of retained earnings, reflecting the company's ability to enhance its net asset base over time. Minor fluctuations in equity growth rates are present but do not detract from the overall positive trend.
- Return on Equity (ROE)
- The ROE displays a progressive increase starting from just above 20% in early 2019, rising steadily to peak levels of nearly 38% around late 2022. This improvement indicates enhanced efficiency in utilizing shareholders’ equity to generate profits. The trend dips slightly in the most recent quarters to approximately 33%, which, while lower than the peak, remains significantly higher than the initial values, suggesting strong sustained profitability relative to equity.
In summary, the data reflects robust financial performance with growing profitability and equity base over the years. The enhancement in return on equity further underscores the effective management of resources, although some recent softness in net income and ROE points to possible emerging challenges or market variations that merit monitoring.
Return on Assets (ROA)
Old Dominion Freight Line Inc., ROA calculation (quarterly data)
| 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 | Dec 31, 2018 | Sep 30, 2018 | Jun 30, 2018 | Mar 31, 2018 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||||||||||||||||||||||||||
| Net income | 292,362) | 285,038) | 323,929) | 377,401) | 376,078) | 299,751) | 278,806) | 286,634) | 269,576) | 199,359) | 189,832) | 201,868) | 147,805) | 133,177) | 144,024) | 164,099) | 174,072) | 133,323) | 159,459) | 173,442) | 163,434) | 109,333) | |||||||
| Total assets | 4,978,932) | 4,957,088) | 4,838,610) | 4,811,393) | 4,793,867) | 4,722,650) | 4,821,544) | 4,613,120) | 4,534,446) | 4,351,863) | 4,369,410) | 4,273,688) | 4,080,028) | 3,934,986) | 3,995,568) | 3,892,418) | 3,758,703) | 3,704,042) | 3,545,283) | 3,489,312) | 3,321,082) | 3,144,004) | |||||||
| Profitability Ratio | |||||||||||||||||||||||||||||
| ROA1 | 25.68% | 27.48% | 28.46% | 27.69% | 25.89% | 24.03% | 21.45% | 20.49% | 18.98% | 16.98% | 15.40% | 14.67% | 14.44% | 15.64% | 15.41% | 16.21% | 17.04% | 17.00% | 17.08% | — | — | — | |||||||
| Benchmarks | |||||||||||||||||||||||||||||
| ROA, Competitors2 | |||||||||||||||||||||||||||||
| FedEx Corp. | 3.89% | 4.18% | 4.45% | 6.11% | 5.84% | 6.21% | 6.32% | 3.66% | 3.02% | 2.30% | 1.75% | -0.50% | 0.11% | 0.66% | 0.99% | — | — | — | — | — | — | — | |||||||
| Uber Technologies Inc. | -1.09% | -10.38% | -28.47% | -28.43% | -32.45% | -19.26% | -1.28% | -6.39% | -2.82% | -11.37% | -20.35% | — | — | — | — | — | — | — | — | — | — | — | |||||||
| Union Pacific Corp. | 10.19% | 10.61% | 10.69% | 10.82% | 10.63% | 10.64% | 10.27% | 9.93% | 9.48% | 8.44% | 8.57% | — | — | — | — | — | — | — | — | — | — | — | |||||||
| United Airlines Holdings Inc. | 3.64% | 2.73% | 1.09% | -1.09% | -1.73% | -2.87% | -2.88% | -4.64% | -7.78% | -10.90% | -11.87% | — | — | — | — | — | — | — | — | — | — | — | |||||||
| United Parcel Service Inc. | 14.23% | 14.93% | 16.24% | 16.09% | 15.60% | 15.35% | 18.57% | 9.81% | 9.37% | 8.17% | 2.15% | — | — | — | — | — | — | — | — | — | — | — | |||||||
Based on: 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31).
1 Q2 2023 Calculation
ROA = 100
× (Net incomeQ2 2023
+ Net incomeQ1 2023
+ Net incomeQ4 2022
+ Net incomeQ3 2022)
÷ Total assets
= 100 × (292,362 + 285,038 + 323,929 + 377,401)
÷ 4,978,932 = 25.68%
2 Click competitor name to see calculations.
The analysis of the quarterly financial data reveals several significant trends regarding profitability, asset growth, and return on assets (ROA) over the observed periods.
- Net Income
- Net income demonstrates a generally increasing trend from early 2018 through 2023, with notable fluctuations. Starting at approximately 109 million US dollars in the first quarter of 2018, net income rises steadily, peaking multiple times, with a marked surge in 2021 where it reaches highs above 280 million US dollars in several quarters. The highest values appear around 2022, with consistent quarterly net incomes exceeding 300 million US dollars before slightly tapering off in early 2023. This upward trajectory suggests improving profitability, albeit with some quarterly volatility.
- Total Assets
- Total assets show steady growth throughout the entire period, beginning at around 3.14 billion US dollars in early 2018 and expanding incrementally to just under 5 billion US dollars by mid-2023. This consistent asset base increase indicates ongoing investment, expansion, or accumulation of resources. Although growth is relatively continuous, there are minor decreases or plateaus in some quarters, such as a slight reduction observed in early 2022. Overall, this trend signals the company’s increasing scale and capacity over time.
- Return on Assets (ROA)
- ROA data are available from the first quarter of 2019 onward and show a positive and strengthening trend. Initially, ROA is around 17%, then it progressively rises each quarter to peak values surpassing 28% in late 2022. This sharp improvement in asset efficiency suggests that the company has been increasingly effective at generating returns from its asset base. The gradual increase in ROA, despite fluctuations in net income and asset base, highlights strengthened operational performance and profitability management.
- Overall Observations
- In summary, the company has demonstrated strong and consistent growth in net income and total assets over the analyzed period. The steady rise in ROA underscores enhanced effectiveness in utilizing assets to generate profits. Periodic dips and peaks in net income point to cyclical or operational influences impacting profitability in the short term, but the overall trend remains positive. The expansion of assets alongside rising profitability metrics indicates a healthy financial position and potentially increased market competitiveness.