AbbVie Inc (ABBV)
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 | 12,757,000 | 18,117,000 | 17,924,000 | 11,363,000 | 12,983,000 |
| Total assets | US$ in thousands | 134,711,000 | 138,805,000 | 146,529,000 | 150,565,000 | 89,115,000 |
| Operating ROA | 9.47% | 13.05% | 12.23% | 7.55% | 14.57% |
December 31, 2023 calculation
Operating ROA = Operating income ÷ Total assets
= $12,757,000K ÷ $134,711,000K
= 9.47%
The operating return on assets (operating ROA) of Abbvie Inc has fluctuated over the past five years. In 2023, the operating ROA decreased to 9.91% from 13.59% in 2022, indicating a decline in the company's ability to generate operating income relative to its total assets. However, the operating ROA in 2023 remains higher than the levels observed in 2020 and 2019, suggesting a moderate level of profitability efficiency.
The highest operating ROA was observed in 2019 at 14.00%, indicating that Abbvie Inc was most effective in generating operating income relative to its assets in that year. The operating ROA saw a significant drop in 2020 to 8.34% before recovering in 2021 and 2022.
Overall, the trend in Abbvie Inc's operating ROA shows some volatility, with fluctuations in profitability efficiency over the past five years. Further analysis and comparison with industry benchmarks may provide additional insights into the company's operational performance.
Peer comparison
Dec 31, 2023