Electronic Arts Inc (EA)
Return on assets (ROA)
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | 1,273,000 | 1,079,000 | 993,000 | 893,000 | 802,000 | 1,039,000 | 901,000 | 896,000 | 789,000 | 640,000 | 785,000 | 676,000 | 837,000 | 1,179,000 | 1,314,000 | 1,983,000 | 3,039,000 | 2,830,000 | 2,746,000 | 2,147,000 |
| Total assets | US$ in thousands | 13,420,000 | 13,617,000 | 13,139,000 | 13,083,000 | 13,459,000 | 13,470,000 | 13,079,000 | 13,192,000 | 13,800,000 | 13,930,000 | 13,019,000 | 12,734,000 | 13,288,000 | 12,420,000 | 11,470,000 | 11,284,000 | 11,112,000 | 11,161,000 | 10,593,000 | 9,749,000 |
| ROA | 9.49% | 7.92% | 7.56% | 6.83% | 5.96% | 7.71% | 6.89% | 6.79% | 5.72% | 4.59% | 6.03% | 5.31% | 6.30% | 9.49% | 11.46% | 17.57% | 27.35% | 25.36% | 25.92% | 22.02% |
March 31, 2024 calculation
ROA = Net income (ttm) ÷ Total assets
= $1,273,000K ÷ $13,420,000K
= 9.49%
The Return on Assets (ROA) measures the company's efficiency in generating profit from its assets. A higher ROA indicates better asset utilization and profitability. Analyzing Electronic Arts Inc's ROA over the past 20 quarters, we observe fluctuating trends.
The ROA ranged from 4.59% to 27.35% during the period. In recent quarters, the ROA exhibited an increasing trend with fluctuations. Specifically, the ROA increased from 5.72% in Mar 31, 2022, to 9.49% in Mar 31, 2024. This improvement suggests enhanced efficiency in generating profits from its assets during this period.
Over the entire period, Electronic Arts Inc seemed to have a relatively strong performance in utilizing its assets to generate profit, with ROA values generally above 5%. However, the company experienced some variability in the ROA, which could be due to changes in operational efficiency, asset management, or economic conditions.
It is essential for stakeholders to monitor Electronic Arts Inc's ROA continuously to assess its operational efficiency and financial performance in utilizing its assets effectively to generate returns for shareholders. Further analysis of the underlying factors driving these fluctuations in ROA would provide deeper insights into the company's financial health and operational effectiveness.
Peer comparison
Mar 31, 2024