ADMA Biologics Inc (ADMA)

Operating return on assets (Operating ROA)

		Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	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
Operating income (ttm)	US$ in thousands	114,893	83,940	44,266	21,632	1,340	-16,662	-25,364	-39,366	-46,498	-51,618	-58,024	-58,373	-62,402	-61,766	-63,309	-64,915	-55,522	-50,771	-44,986	-41,424
Total assets	US$ in thousands	390,618	376,399	350,875	329,182	348,997	343,027	340,788	348,461	300,558	296,932	308,032	276,253	238,640	232,814	235,667	207,673	189,976	191,542	210,524	127,091
Operating ROA		29.41%	22.30%	12.62%	6.57%	0.38%	-4.86%	-7.44%	-11.30%	-15.47%	-17.38%	-18.84%	-21.13%	-26.15%	-26.53%	-26.86%	-31.26%	-29.23%	-26.51%	-21.37%	-32.59%

September 30, 2024 calculation

Operating ROA = Operating income (ttm) ÷ Total assets
= $114,893K ÷ $390,618K
= 29.41%

The operating return on assets (ROA) for ADMA Biologics Inc has shown a fluctuating trend over the past few quarters. The ratio stood at 29.41% in September 2024, indicating that the company generated $0.2941 in operating income for every dollar of assets it owns. This was a significant improvement compared to the previous quarter, where the operating ROA was 22.30%.

The upward trend in operating ROA from September 2023 to September 2024 suggests that the company has been able to more efficiently utilize its assets to generate operating income. This could be attributed to improved operational efficiency, better cost management, or increased revenue generation.

However, it is important to note that the operating ROA was negative in several quarters prior to the recent improvements, reaching as low as -32.59% in December 2019. A negative operating ROA signifies that the company's operating income was insufficient to cover the cost of its assets.

Overall, the recent positive trend in operating ROA indicates that ADMA Biologics Inc has been making progress in enhancing its operational performance and profitability relative to its asset base. It will be important to monitor future quarters to see if the company can sustain and further improve its operating ROA.