ANI Pharmaceuticals Inc (ANIP)

Operating return on assets (Operating ROA)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Operating income	US$ in thousands	46,971	-35,283	-39,793	-16,016	16,351
Total assets	US$ in thousands	904,422	760,087	771,598	461,190	456,789
Operating ROA		5.19%	-4.64%	-5.16%	-3.47%	3.58%

December 31, 2023 calculation

Operating ROA = Operating income ÷ Total assets
= $46,971K ÷ $904,422K
= 5.19%

Operating return on assets (operating ROA) is a key financial ratio that measures a company's ability to generate operating profits from its assets. ANI Pharmaceuticals Inc has shown varying performance in operating ROA over the past five years.

In 2023, ANI Pharmaceuticals Inc achieved an operating ROA of 5.48%, indicating that the company generated a return of 5.48% on its operating assets. This is a significant improvement compared to the previous years.

However, in 2022 and 2021, the company experienced negative operating ROA, showing operating losses relative to its assets. This suggests a period of operational inefficiency and potentially mismanagement of resources.

In 2020, ANI Pharmaceuticals Inc improved its operating ROA to -0.93%, still negative but showing progress towards profitability. Prior to that, in 2019, the company had a positive operating ROA of 5.06%, indicating efficient use of assets to generate operating income.

Overall, the fluctuating trend in ANI Pharmaceuticals Inc's operating ROA highlights the company's challenges in consistently turning its assets into profits. It is important for the company to focus on operational efficiency and effective asset management to enhance its financial performance and generate sustainable returns for its shareholders.