Blackline Inc (BL)

Operating return on assets (Operating 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
Operating income (ttm)	US$ in thousands	14,348	4,811	-15,534	-46,147	-56,198	-75,664	-48,294	-45,273	-38,614	-29,618	-37,605	-31,259	-19,891	-17,436	-23,261	-25,913	-27,899	-31,586	-28,746	-31,599
Total assets	US$ in thousands	2,100,760	2,016,140	1,975,370	1,932,650	1,943,660	1,877,660	1,873,570	1,870,230	1,817,580	1,750,390	1,732,070	1,708,800	1,113,500	1,046,760	1,033,250	1,011,370	1,014,550	975,639	523,502	504,953
Operating ROA		0.68%	0.24%	-0.79%	-2.39%	-2.89%	-4.03%	-2.58%	-2.42%	-2.12%	-1.69%	-2.17%	-1.83%	-1.79%	-1.67%	-2.25%	-2.56%	-2.75%	-3.24%	-5.49%	-6.26%

December 31, 2023 calculation

Operating ROA = Operating income (ttm) ÷ Total assets
= $14,348K ÷ $2,100,760K
= 0.68%

Blackline Inc's operating return on assets (ROA) has exhibited fluctuating trends over the past few quarters. It improved slightly from -2.89% in December 2022 to 0.68% in December 2023. However, the ROA for most of the periods has been negative, indicating challenges in generating operating profits relative to its assets.

The negative operating ROA figures suggest that Blackline Inc's operational efficiency may be suboptimal, as it is not effectively utilizing its assets to generate profits. Management should focus on improving operational performance, cost management, and revenue generation strategies to enhance the operating ROA. Further analysis of the company's cost structure, pricing strategies, and asset utilization is warranted to address the negative trend and improve overall financial performance.