Cytek Biosciences Inc (CTKB)
Return on assets (ROA)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | -6,020 | -12,148 | 2,576 | 4,417 | 19,411 |
| Total assets | US$ in thousands | 499,500 | 494,457 | 519,476 | 463,700 | 219,979 |
| ROA | -1.21% | -2.46% | 0.50% | 0.95% | 8.82% |
December 31, 2024 calculation
ROA = Net income ÷ Total assets
= $-6,020K ÷ $499,500K
= -1.21%
The return on assets (ROA) for Cytek Biosciences Inc has exhibited a declining trend over the past five years. In December 31, 2020, the ROA stood at a healthy 8.82%, indicating that the company was generating $0.0882 in profit for every dollar of assets it owned. However, there was a significant drop in profitability as the ROA decreased to 0.95% by December 31, 2021, and further declined to 0.50% by December 31, 2022.
The downward trend continued in the subsequent years, with the ROA falling to -2.46% by December 31, 2023, and improving slightly to -1.21% by December 31, 2024. A negative ROA suggests that the company is experiencing financial difficulties and is not effectively utilizing its assets to generate profits.
Overall, the declining trend in ROA is a concerning sign for Cytek Biosciences Inc, indicating a deteriorating ability to generate profits relative to its asset base. Management should closely analyze the factors contributing to this trend and implement strategic measures to improve asset utilization and return on investment.
Peer comparison
Dec 31, 2024