Enphase Energy Inc (ENPH)
Operating return on assets (Operating ROA)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 77,292 | 445,741 | 448,261 | 215,832 | 186,439 |
| Total assets | US$ in thousands | 3,249,680 | 3,383,010 | 3,084,280 | 2,079,260 | 1,200,100 |
| Operating ROA | 2.38% | 13.18% | 14.53% | 10.38% | 15.54% |
December 31, 2024 calculation
Operating ROA = Operating income ÷ Total assets
= $77,292K ÷ $3,249,680K
= 2.38%
The operating return on assets (ROA) of Enphase Energy Inc has shown some fluctuations over the years as per the provided data. As of December 31, 2020, the operating ROA was 15.54%, indicating that the company generated 15.54 cents of operating income for every dollar of assets. This ratio decreased to 10.38% as of December 31, 2021, suggesting a decline in the company's efficiency in generating operating income from its assets.
However, there was a slight improvement in the operating ROA to 14.53% as of December 31, 2022, followed by a further decrease to 13.18% as of December 31, 2023. This indicates fluctuations in the company's operating profitability and asset utilization during these periods.
The operating ROA dropped significantly to 2.38% by December 31, 2024, reflecting a substantial decline in the company's ability to generate operating income relative to its total assets. This low ratio may suggest challenges in efficiently managing and utilizing the company's assets to generate profits during that period.
In summary, Enphase Energy Inc's operating ROA has displayed variations over the years, possibly indicating changes in operational efficiency, profitability, and asset management within the company.
Peer comparison
Dec 31, 2024