Cadence Design Systems Inc (CDNS)

Return on assets (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
Net income (ttm)	US$ in thousands	1,055,484	1,039,173	1,055,383	1,046,983	1,041,144	957,637	889,621	855,421	848,952	785,139	775,141	744,121	695,955	693,114	678,437	653,825	590,644	1,076,581	1,016,465	992,412
Total assets	US$ in thousands	8,974,480	9,167,030	7,225,740	5,722,130	5,669,490	5,431,380	5,155,120	5,171,620	5,137,070	4,968,090	4,361,270	4,395,070	4,386,300	4,213,880	4,122,550	3,998,960	3,950,780	4,140,150	3,999,500	3,767,970
ROA		11.76%	11.34%	14.61%	18.30%	18.36%	17.63%	17.26%	16.54%	16.53%	15.80%	17.77%	16.93%	15.87%	16.45%	16.46%	16.35%	14.95%	26.00%	25.41%	26.34%

December 31, 2024 calculation

ROA = Net income (ttm) ÷ Total assets
= $1,055,484K ÷ $8,974,480K
= 11.76%

Cadence Design Systems Inc's return on assets (ROA) has shown fluctuations over the past few years, ranging from a high of 26.34% as of March 31, 2020, to a low of 11.34% as of September 30, 2024. The company's ROA remained above 15% for most of the period, indicating its ability to generate profit relative to its total assets. Notably, there was a significant decline in ROA from 26.00% as of September 30, 2020, to 14.95% as of December 31, 2020, which was followed by a gradual recovery in subsequent periods. The most recent ROA figure of 11.76% as of December 31, 2024, suggests a decrease in the company's profitability relative to its asset base. Overall, Cadence Design Systems Inc's ROA performance demonstrates a mix of strong profitability and some periods of decline, highlighting the importance of monitoring asset utilization and profitability trends for sustainable financial performance.