Amphastar P (AMPH)

Return on assets (ROA)

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Net income	US$ in thousands	159,519	137,545	91,386	62,116	1,403
Total assets	US$ in thousands	1,577,470	1,512,910	741,987	671,529	631,236
ROA		10.11%	9.09%	12.32%	9.25%	0.22%

December 31, 2024 calculation

ROA = Net income ÷ Total assets
= $159,519K ÷ $1,577,470K
= 10.11%

Amphastar P's return on assets (ROA) has shown a significant increase over the past few years. In December 31, 2020, the ROA stood at 0.22%, indicating a relatively low return on the assets employed by the company. However, there has been a remarkable improvement in subsequent years. By December 31, 2021, the ROA surged to 9.25%, reflecting a substantial increase in the company's ability to generate profit from its assets.

The positive trend continued in the following years, with the ROA reaching 12.32% in December 31, 2022, and then slightly decreasing to 9.09% by December 31, 2023. Despite the slight dip, the company managed to maintain a healthy level of return on assets, indicating effective asset utilization and profitability. In December 31, 2024, the ROA further improved to 10.11%, showcasing the company's continued focus on maximizing returns on its assets.

Overall, the upward trajectory of Amphastar P's return on assets suggests improved efficiency in utilizing its assets to generate profits over the analyzed period. This enhancement in performance indicates a positive outlook for the company's financial health and operational effectiveness.