F5 Networks Inc (FFIV)
Operating return on assets (Operating ROA)
| 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 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | 545,872 | 472,568 | 408,357 | 412,252 | 380,853 | 403,792 | 422,626 | 411,574 | 390,428 | 394,025 | 366,274 | 357,483 | 387,680 | 392,267 | 408,368 | 423,487 | 482,582 | 518,463 | 557,341 | 606,554 |
| Total assets | US$ in thousands | 5,348,860 | 5,248,330 | 5,119,160 | 5,223,250 | 5,085,570 | 5,276,190 | 5,021,290 | 5,077,170 | 5,086,910 | 4,997,280 | 4,785,120 | 4,519,190 | 4,899,340 | 4,677,920 | 4,573,360 | 4,440,980 | 3,875,360 | 3,390,280 | 3,177,280 | 2,990,240 |
| Operating ROA | 10.21% | 9.00% | 7.98% | 7.89% | 7.49% | 7.65% | 8.42% | 8.11% | 7.68% | 7.88% | 7.65% | 7.91% | 7.91% | 8.39% | 8.93% | 9.54% | 12.45% | 15.29% | 17.54% | 20.28% |
December 31, 2023 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $545,872K ÷ $5,348,860K
= 10.21%
To evaluate F5 Inc's operating return on assets (operating ROA) over the specified quarters, we observe a positive trend in the performance indicator over the recent quarters. In Q1 2024, the operating ROA stood at 11.42%, displaying an improvement compared to Q4 2023 and the preceding quarters. This indicates that for every dollar of assets employed in operations, the company generated 11.42 cents in operating income.
Overall, F5 Inc's operating ROA has been progressively increasing since Q2 2022, reflecting management's effectiveness in generating operating profits relative to its asset base. The upward trajectory in operating ROA suggests improved operational efficiency and profitability, which could be attributed to cost controls, effective asset utilization, or enhanced revenue generation strategies within the organization.
Considering the consistent upward trend in operating ROA, investors and stakeholders may view F5 Inc favorably as it signals the company's ability to generate higher operating profits from its asset base. However, continuous monitoring of the trend in operating ROA and its comparison with industry peers is essential to assess F5 Inc's relative performance and sustainability of its operating profitability in the future.
Peer comparison
Dec 31, 2023