Quest Diagnostics Incorporated (DGX)
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 | 1,380,000 | 1,330,000 | 1,342,000 | 1,320,000 | 1,306,000 | 1,130,000 | 1,180,000 | 1,220,000 | 1,428,000 | 1,829,000 | 2,089,000 | 2,234,000 | 2,381,000 | 2,640,000 | 2,706,000 | 2,456,000 | 1,971,000 | 1,539,000 | 1,134,000 | 1,158,000 |
| Total assets | US$ in thousands | 16,153,000 | 16,095,000 | 13,881,000 | 13,954,000 | 14,022,000 | 13,482,000 | 13,425,000 | 12,794,000 | 12,837,000 | 13,223,000 | 13,312,000 | 13,442,000 | 13,611,000 | 13,572,000 | 12,861,000 | 13,931,000 | 14,026,000 | 14,143,000 | 12,990,000 | 12,049,000 |
| Operating ROA | 8.54% | 8.26% | 9.67% | 9.46% | 9.31% | 8.38% | 8.79% | 9.54% | 11.12% | 13.83% | 15.69% | 16.62% | 17.49% | 19.45% | 21.04% | 17.63% | 14.05% | 10.88% | 8.73% | 9.61% |
December 31, 2024 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $1,380,000K ÷ $16,153,000K
= 8.54%
Quest Diagnostics Incorporated's operating return on assets (operating ROA) has shown some fluctuations over the last several quarters. The trend indicates that the company's ability to generate operating income from its assets has been improving overall, with some variability.
From March 31, 2020, to March 31, 2021, the operating ROA consistently increased, reaching a peak of 21.04% by June 30, 2021. This suggests that the company was effectively utilizing its assets to generate operating profits during this period.
However, from September 30, 2021, to December 31, 2024, the operating ROA experienced a downward trend overall. There were fluctuations in the percentages, but the general trajectory was a gradual decline. This could indicate potential challenges in maintaining or improving operational efficiency and profitability relative to the company's asset base.
It is essential for Quest Diagnostics to closely monitor and manage its operating ROA to ensure it remains competitive and sustainable in its industry. Strategies to optimize asset utilization and improve operational performance may help to address any downward trends in the operating ROA.
Peer comparison
Dec 31, 2024