Amphastar P (AMPH)

Return on assets (ROA)

		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	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Net income (ttm)	US$ in thousands	137,545	135,291	101,943	93,165	91,386	77,233	90,907	81,328	62,116	36,083	10,454	2,495	1,403	6,650	4,041	52,020	48,939	51,832	52,911	2,271
Total assets	US$ in thousands	1,512,910	1,544,630	1,378,270	773,656	741,987	726,695	723,719	716,238	671,529	651,677	665,745	645,738	631,236	613,718	600,058	572,831	586,971	585,636	601,301	544,718
ROA		9.09%	8.76%	7.40%	12.04%	12.32%	10.63%	12.56%	11.35%	9.25%	5.54%	1.57%	0.39%	0.22%	1.08%	0.67%	9.08%	8.34%	8.85%	8.80%	0.42%

December 31, 2023 calculation

ROA = Net income (ttm) ÷ Total assets
= $137,545K ÷ $1,512,910K
= 9.09%

Amphastar Pharmaceuticals Inc's return on assets (ROA) has shown some fluctuations over the past eight quarters. The ROA ranged from a low of 7.40% in Q2 2023 to a high of 12.56% in Q2 2022. Overall, the company has maintained a relatively healthy ROA average of approximately 10%, indicating that it generates a moderate level of earnings relative to its total assets.

The drop in ROA in Q2 2023 compared to the previous quarters may suggest that the company's profitability relative to its assets decreased during that period. However, the subsequent increase in Q4 2023 indicates a potential improvement in efficiency in generating profits from its assets.

It is essential for Amphastar Pharmaceuticals Inc to continue monitoring its ROA to ensure optimal utilization of its assets to drive profitability. Additionally, comparing the ROA to industry benchmarks or competitor performance can provide further insights into the company's financial health and operational efficiency.