ADEIA CORP (ADEA)

Operating return on assets (Operating ROA)

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Operating income	US$ in thousands	128,609	136,230	153,060	119,028	267,455
Total assets	US$ in thousands	1,097,960	1,105,560	1,210,530	2,470,020	2,701,180
Operating ROA		11.71%	12.32%	12.64%	4.82%	9.90%

December 31, 2024 calculation

Operating ROA = Operating income ÷ Total assets
= $128,609K ÷ $1,097,960K
= 11.71%

Based on the data provided for ADEIA CORP's Operating Return on Assets (Operating ROA) over the years, we observe fluctuations in the performance of the company.

- In December 31, 2020, the Operating ROA was 9.90%, indicating that the company generated a return of 9.90 cents for each dollar of assets employed in its operations.
- By December 31, 2021, the Operating ROA decreased to 4.82%, suggesting a decline in the efficiency of asset utilization or profitability compared to the previous year.
- The year 2022 saw a significant improvement with an Operating ROA of 12.64%, reflecting a notable increase in the company's ability to generate returns from its assets.
- The trend continued in December 31, 2023, with an Operating ROA of 12.32%, indicating a sustained strong performance in utilizing assets to generate profits.
- However, by December 31, 2024, the Operating ROA slightly decreased to 11.71%, signaling a potential moderation in the efficiency of asset utilization or profitability compared to the previous year.

In summary, ADEIA CORP's Operating ROA has shown variability over the years, with both improvements and declines. It is essential for the company to further analyze the reasons behind these fluctuations to ensure sustainable and efficient asset utilization in its operations.