Quest Diagnostics Incorporated (DGX)

Return on assets (ROA)

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Net income US$ in thousands 871,000 854,000 946,000 1,995,000 1,431,000
Total assets US$ in thousands 16,153,000 14,022,000 12,837,000 13,611,000 14,026,000
ROA 5.39% 6.09% 7.37% 14.66% 10.20%

December 31, 2024 calculation

ROA = Net income ÷ Total assets
= $871,000K ÷ $16,153,000K
= 5.39%

The return on assets (ROA) for Quest Diagnostics Incorporated has shown fluctuations over the years based on the provided data.

In December 31, 2020, the ROA was 10.20%, indicating that for every dollar of assets the company had, it generated a profit of 10.20 cents.

By December 31, 2021, the ROA increased to 14.66%, demonstrating improved efficiency in utilizing its assets to generate profit during that period.

However, there was a decrease in ROA to 7.37% by December 31, 2022, which may suggest challenges in maintaining profitability relative to its asset base.

This trend continued with a further decline to 6.09% by December 31, 2023, and a subsequent decrease to 5.39% by December 31, 2024. These declining ROA figures could indicate potential inefficiencies in asset utilization or changes in the company's profitability.

Overall, Quest Diagnostics Incorporated's ROA has shown variability over the years, and further analysis of the company's operations and financial health would be necessary to understand the factors contributing to these fluctuations and to assess the company's financial performance.