Fair Isaac Corporation (FICO)

Return on assets (ROA)

		Sep 30, 2023	Sep 30, 2022	Sep 30, 2021	Sep 30, 2020	Sep 30, 2019
Net income	US$ in thousands	429,375	373,541	392,084	236,411	192,124
Total assets	US$ in thousands	1,575,280	1,442,030	1,567,780	1,606,240	1,433,450
ROA		27.26%	25.90%	25.01%	14.72%	13.40%

September 30, 2023 calculation

ROA = Net income ÷ Total assets
= $429,375K ÷ $1,575,280K
= 27.26%

The return on assets (ROA) for Fair, Isaac Corp. has shown a positive trend over the last five years, demonstrating the company's ability to generate profit from its assets. The ROA has steadily increased from 13.40% in 2019 to 27.26% in 2023. This indicates that the company has been effectively utilizing its assets to generate earnings.

The significant improvement in ROA from 2020 to 2021 suggests that the company's asset productivity and efficiency in generating profits improved during this period. This positive trend may be attributed to management's focus on optimizing asset utilization and improving operational efficiency.

Fair, Isaac Corp.'s consistently high ROA indicates that it has been successful in generating substantial earnings relative to the value of its assets. This is a positive indicator of the company's overall financial performance and efficient use of resources. Investors and stakeholders may view the rising ROA as a sign of the company's effective management and potential for continued profitability.