Arrowhead Pharmaceuticals Inc (ARWR)

Operating return on assets (Operating ROA)

		Sep 30, 2024	Sep 30, 2023	Sep 30, 2022	Sep 30, 2021	Sep 30, 2020
Operating income	US$ in thousands	-601,080	-205,002	-178,507	-149,036	-93,159
Total assets	US$ in thousands	1,139,800	765,552	691,939	710,148	522,504
Operating ROA		-52.74%	-26.78%	-25.80%	-20.99%	-17.83%

September 30, 2024 calculation

Operating ROA = Operating income ÷ Total assets
= $-601,080K ÷ $1,139,800K
= -52.74%

Arrowhead Pharmaceuticals Inc's operating return on assets (Operating ROA) has shown a downward trend over the past five years. The company's operating ROA was at -17.83% in 2020 and has since deteriorated to -52.74% in 2024. This indicates that the company is generating negative returns from its operating assets, implying inefficiency in utilizing its assets to generate operating profits.

The consistent negative operating ROA suggests that Arrowhead Pharmaceuticals Inc may be facing challenges in effectively managing its operational assets and generating profits from its core business activities. Investors and stakeholders may be concerned about the company's ability to improve its operational efficiency and profitability in the future.

Further analysis of the company's operational strategies, cost management, revenue generation, and overall business performance may be necessary to address the downward trend in operating ROA and identify potential areas for improvement.