Adient PLC (ADNT)

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	24,000	30,000	98,000	92,000	85,000	145,000	22,000	-44,000	-134,000	-337,000	-354,000	-247,000	-62,000	298,000	10,000	-30,000	-333,000	-315,000	3,000	-443,000
Total assets	US$ in thousands	9,351,000	9,095,000	9,278,000	9,297,000	9,424,000	9,482,000	9,479,000	9,273,000	9,158,000	9,315,000	9,854,000	10,719,000	10,778,000	9,804,000	9,975,000	10,544,000	10,261,000	9,619,000	10,646,000	10,364,000
Operating ROA		0.26%	0.33%	1.06%	0.99%	0.90%	1.53%	0.23%	-0.47%	-1.46%	-3.62%	-3.59%	-2.30%	-0.58%	3.04%	0.10%	-0.28%	-3.25%	-3.27%	0.03%	-4.27%

September 30, 2024 calculation

Operating ROA = Operating income (ttm) ÷ Total assets
= $24,000K ÷ $9,351,000K
= 0.26%

Operating return on assets (operating ROA) measures a company's ability to generate operating profits from its assets. A higher operating ROA indicates better operational efficiency and profitability.

Looking at Adient PLC's operating ROA over the past several quarters, we observe fluctuations in performance. In the most recent quarter, ending September 30, 2024, the operating ROA stood at 0.26%, showing a slight decline from the previous quarter but still reflecting a positive return on assets.

In the earlier quarters of 2024, Adient PLC experienced varying levels of operating ROA, with a noticeable peak of 1.06% in March 31, 2024. This increase suggests improved operational performance and asset utilization during that period.

Furthermore, the company faced challenges in terms of operating ROA in 2023, with negative figures recorded in several quarters. Notably, in December 31, 2022, and September 30, 2022, Adient PLC reported significantly negative operating ROA figures of -0.47% and -1.46%, respectively. These outcomes indicate operational inefficiencies and a lesser ability to generate profits from its assets during those periods.

Overall, Adient PLC's operating ROA has shown variability, with both positive and negative trends observed in recent quarters. The company may need to focus on enhancing operational efficiency and asset utilization to maintain and improve its profitability in the future.