Certara Inc (CERT)
Return on assets (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 | ||
|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | -55,357 | -33,727 | 19,174 | 13,879 | 14,731 | -4,142 | -9,840 | -12,108 | -13,266 |
| Total assets | US$ in thousands | 1,563,140 | 1,526,820 | 1,572,220 | 1,566,760 | 1,572,920 | 1,508,690 | 1,501,750 | 1,507,030 | 1,511,730 |
| ROA | -3.54% | -2.21% | 1.22% | 0.89% | 0.94% | -0.27% | -0.66% | -0.80% | -0.88% |
December 31, 2023 calculation
ROA = Net income (ttm) ÷ Total assets
= $-55,357K ÷ $1,563,140K
= -3.54%
To analyze Certara Inc's return on assets (ROA) trend, we can observe fluctuations over the past eight quarters. The ROA values have varied substantially during this period, ranging from a low of -3.54% in Q4 2023 to a high of 1.22% in Q2 2023.
The negative ROA values in recent quarters indicate that the company's net income generated from its assets has been insufficient to cover its total assets. This may suggest operational inefficiencies or financial challenges impacting Certara Inc's profitability.
The positive ROA values in some quarters, such as Q2 2023 and Q1 2023, indicate that the company was able to generate modest returns from its assets during those periods. However, it is important to note that these positive ROA values are relatively low compared to the negative values, indicating room for improvement in asset utilization efficiency.
Overall, the fluctuating ROA trend suggests that Certara Inc may be experiencing challenges in effectively managing and utilizing its assets to generate profits. Further analysis of the company's financial performance and operational strategies may be necessary to understand the underlying factors driving these fluctuations in ROA.
Peer comparison
Dec 31, 2023