Cytokinetics Inc (CYTK)
Return on assets (ROA)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | -526,244 | -388,955 | -215,314 | -127,290 | -121,692 |
| Total assets | US$ in thousands | 824,316 | 1,014,780 | 841,319 | 533,803 | 289,814 |
| ROA | -63.84% | -38.33% | -25.59% | -23.85% | -41.99% |
December 31, 2023 calculation
ROA = Net income ÷ Total assets
= $-526,244K ÷ $824,316K
= -63.84%
Cytokinetics Inc's return on assets (ROA) has fluctuated significantly over the past five years, with negative values observed in each year. The ROA decreased from -41.99% in 2019 to -63.84% in 2023, indicating a downward trend in the efficiency of utilizing assets to generate profits. This suggests that Cytokinetics Inc has been struggling to generate profits relative to the size of its assets. The declining trend in ROA raises concerns about the company's operational efficiency and profitability, indicating potential challenges in optimizing asset utilization to drive higher returns. Management may need to reevaluate its asset management strategies and operational efficiency to improve the company's financial performance in the future.
Peer comparison
Dec 31, 2023