yes - if you have multiple sources of learning records - multiple distinct LMS systems, NOT just content packages launched within an LMS that can all report into an LRS this is one of the more interesting use-cases for an LRS. (and Moodle can do this now using the xapi logstore plugin.)
But... before decided on a reporting technology you need to work out your audience for this aggregated data and understand what sort of reports they are wanting to extract.
One of the challenges with an LRS is that while it's really nice to have data all structured in a similar way from multiple sources, it often misses a lot of the
context required for many high-level reports. Typically it's only "logs or user access/(learning records)" that are reported to the external LRS - so if you want to know "what percentage of the
activities that are available to this user in this course have been completed" - the only part of that you can usually get from the LRS is "what
activities are completed" - you can't see what activities are currently available to this user. The more reports you write, the more extra detail you find that you need which is not stored as learning records, but is stored in some other way in the LMS - and then someone comes along and says - we want to include information from the library system in this report .... but our library system doesn't support xAPI - so all of a sudden your choice of technology prevents you from generating reports on all the systems you are responsible for.
Saying that - an LRS does work really well for specific use-cases, however in most cases I come across what people are really looking for is much more integrated reporting system allowing a data-warehouse team to ingest data from multiple sources with the full
context available within each system. We see Power BI used a lot in this manner but it usually requires some good internal capability to write the range of reports required - but there are also other commercial tools like Intelliboard (Official Moodle certified integration partner) which provide good out of the box reporting on top of Moodle LMS systems.
If you're not a Microsoft shop or not interested in Power BI, there are a lot of other tools out there that do similar things (ingest multiple data-sources) like
Apache superset (originally written by Airbnb), and
Metabase (we're using metabase internally for a bunch of our fleet management reporting at Catalyst).
All these solutions all require a decent chunk of effort to implement whether it be LRS, Power Bi, or other custom reporting tool (the easiest to roll that I mentioned above is probably Intelliboard) - the main key is to understand your end-goal before choosing a technology. Write some user stories and list some of the reports you would like to be able to generate out of an aggregated reporting tool, including a list of all the places where the data you want to report on is stored (often many of those locations will not be Xapi compatible either.)
I am yet to find a client that actively decides to implement an LRS after performing a proper analysis on the sorts of reports they want to generate, and an understanding on where all the data is stored that will be required to generate these reports.
