Enphase Energy Inc (ENPH)

Return on assets (ROA)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Net income	US$ in thousands	438,936	397,362	145,449	133,995	161,148
Total assets	US$ in thousands	3,383,010	3,084,280	2,079,260	1,200,100	713,223
ROA		12.97%	12.88%	7.00%	11.17%	22.59%

December 31, 2023 calculation

ROA = Net income ÷ Total assets
= $438,936K ÷ $3,383,010K
= 12.97%

Enphase Energy Inc's return on assets (ROA) has shown variability over the past five years. In 2019, the company achieved a high ROA of 22.59%, reflecting strong asset utilization efficiency. However, there was a decline in ROA in 2020 to 11.17%, which may indicate challenges or inefficiencies in managing assets for generating profits.

The ROA improved in 2021 to 7.00%, but it remained relatively low compared to the previous years. This could suggest that Enphase Energy Inc may have faced certain operational or financial hurdles impacting its ability to generate earnings from its assets effectively.

The most recent data for 2022 and 2023 shows a slight increase in ROA to 12.88% and 12.97%, respectively. This improvement indicates that the company has been more successful in generating profit relative to its assets in recent years, reflecting a positive trend in asset utilization efficiency.

Overall, Enphase Energy Inc's ROA performance has been mixed in the past five years, with fluctuations that may be influenced by various internal and external factors affecting the company's operations and profitability. Further analysis and monitoring of ROA trends will be essential to assess the company's ongoing financial health and efficiency in utilizing its assets.