Align Technology Inc (ALGN)

Return on assets (ROA)

		Dec 31, 2024	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
Net income (ttm)	US$ in thousands	421,362	441,569	447,033	462,283	445,053	362,814	314,087	315,073	361,573	510,759	619,028	705,942	772,020	740,047	698,449	458,133	1,775,887	1,738,161	1,701,314	1,889,058
Total assets	US$ in thousands	6,214,600	6,365,970	6,158,320	6,155,750	6,083,880	6,318,550	6,144,550	5,901,450	5,947,950	5,912,800	5,810,120	5,943,410	5,942,110	5,650,110	5,395,570	5,069,780	4,829,680	4,415,090	4,025,860	3,964,840
ROA		6.78%	6.94%	7.26%	7.51%	7.32%	5.74%	5.11%	5.34%	6.08%	8.64%	10.65%	11.88%	12.99%	13.10%	12.94%	9.04%	36.77%	39.37%	42.26%	47.65%

December 31, 2024 calculation

ROA = Net income (ttm) ÷ Total assets
= $421,362K ÷ $6,214,600K
= 6.78%

Align Technology Inc's return on assets (ROA) has displayed a gradual decline from around 47.65% in March 2020 to approximately 6.78% by December 2024. This indicates that the company's ability to generate profits from its assets has decreased over time. The decreasing trend in ROA may suggest that Align Technology Inc is becoming less efficient in utilizing its assets to generate earnings. Investors and analysts may need to closely monitor the company's asset management strategies and profitability performance to understand the factors driving this decline in ROA.