ACI Worldwide Inc (ACIW)

Return on assets (ROA)

		Dec 31, 2023	Sep 30, 2023	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
Net income (ttm)	US$ in thousands	121,509	89,121	74,327	94,379	142,177	161,420	152,067	145,226	127,791	85,466	87,568	95,142	72,660	61,000	76,948	68,598	67,062	99,266	82,685	62,386
Total assets	US$ in thousands	3,444,740	3,254,830	3,068,890	3,006,800	3,209,900	3,263,140	3,218,670	3,210,440	3,158,740	3,184,490	3,175,180	3,160,200	3,386,900	3,132,430	3,137,580	3,109,900	3,257,530	3,340,760	3,450,320	2,114,140
ROA		3.53%	2.74%	2.42%	3.14%	4.43%	4.95%	4.72%	4.52%	4.05%	2.68%	2.76%	3.01%	2.15%	1.95%	2.45%	2.21%	2.06%	2.97%	2.40%	2.95%

December 31, 2023 calculation

ROA = Net income (ttm) ÷ Total assets
= $121,509K ÷ $3,444,740K
= 3.53%

ACI Worldwide Inc's return on assets (ROA) has exhibited variability over the past eight quarters. Q4 2023 recorded an ROA of 3.53%, representing an improvement compared to the previous quarter's figure of 2.74%. This suggests that the company generated $3.53 in profit for every $100 in assets during the quarter.

The trend in ROA over the past two years shows a general decline from Q1 2022 to Q3 2023, with Q4 2022 marking the peak at 4.43%. This downward trend indicates a potential decrease in the company's profitability relative to its asset base over this period.

It is essential for stakeholders to closely monitor the company's ROA performance to assess its efficiency in generating profits from its assets. Additionally, ACI Worldwide Inc should focus on strategies to effectively utilize its assets to improve ROA and enhance overall financial performance.