DigitalOcean Holdings Inc (DOCN)

Return on assets (ROA)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021
Net income	US$ in thousands	19,409	-27,804	-19,503
Total assets	US$ in thousands	1,460,970	1,815,630	2,101,000
ROA		1.33%	-1.53%	-0.93%

December 31, 2023 calculation

ROA = Net income ÷ Total assets
= $19,409K ÷ $1,460,970K
= 1.33%

DigitalOcean Holdings Inc's return on assets (ROA) has shown notable improvement over the years. As of December 31, 2023, the ROA stands at 1.33%, reflecting a positive return on the company's assets compared to the previous years. In contrast, the ROA was -1.53% as of December 31, 2022, indicating a loss on assets, but this improved significantly from -0.93% as of December 31, 2021. The positive ROA in 2023 suggests that DigitalOcean is generating more profit relative to its assets, which is a positive sign for the company's efficiency in asset utilization and overall financial performance.