Blackbaud Inc (BLKB)

Operating return on assets (Operating ROA)

		Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	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
Operating income (ttm)	US$ in thousands	-266,413	133,043	111,262	65,371	44,705	-3,152	-27,754	-24,861	-19,772	-10,856	3,548	13,404	24,906	30,683	28,924	35,463	37,243	41,679	39,475	33,384
Total assets	US$ in thousands	2,495,720	2,600,970	3,042,750	2,549,130	2,912,280	2,603,280	3,093,010	2,639,350	2,992,700	2,626,580	2,825,520	2,628,700	2,965,360	1,654,940	1,903,360	1,684,340	2,044,730	1,651,160	1,896,810	1,670,920
Operating ROA		-10.67%	5.12%	3.66%	2.56%	1.54%	-0.12%	-0.90%	-0.94%	-0.66%	-0.41%	0.13%	0.51%	0.84%	1.85%	1.52%	2.11%	1.82%	2.52%	2.08%	2.00%

December 31, 2024 calculation

Operating ROA = Operating income (ttm) ÷ Total assets
= $-266,413K ÷ $2,495,720K
= -10.67%

Operating return on assets (Operating ROA) is a key financial ratio that indicates the efficiency of a company in generating operating profits relative to its total assets. Analyzing Blackbaud Inc's Operating ROA data from March 31, 2020, to December 31, 2024, reveals fluctuations in the company's profitability and asset utilization.

From Q1 2020 to Q4 2021, the Operating ROA remained relatively stable, fluctuating between 1.82% and 2.52%. However, a significant decline was observed in the second half of 2022, with negative Operating ROA figures, indicating that Blackbaud Inc was not efficiently generating operating profits relative to its assets during that period.

Despite the negative trend in late 2022 and early 2023, there was a notable recovery in the following quarters. By Q3 2024, the Operating ROA reached 5.12%, indicating an improvement in Blackbaud Inc's profitability and asset efficiency. However, a sharp decline was recorded in Q4 2024, with an Operating ROA of -10.67%.

Overall, the Operating ROA trend for Blackbaud Inc shows variability over the analyzed period, with periods of stability, decline, and recovery. It highlights the importance of closely monitoring and managing both the company's operating profitability and asset utilization to maintain sustainable financial performance.