Fulgent Genetics Inc (FLGT)
Operating return on assets (Operating ROA)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | -195,529 | 178,527 | 675,953 | 290,158 | -428 |
| Total assets | US$ in thousands | 1,235,330 | 1,386,050 | 1,278,720 | 700,461 | 88,756 |
| Operating ROA | -15.83% | 12.88% | 52.86% | 41.42% | -0.48% |
December 31, 2023 calculation
Operating ROA = Operating income ÷ Total assets
= $-195,529K ÷ $1,235,330K
= -15.83%
Fulgent Genetics Inc's operating return on assets (operating ROA) has exhibited significant fluctuations over the past five years. In 2023, the operating ROA was negative at -6.10%, representing a decline from the previous year's positive figure of 13.09%. This negative operating ROA indicates that the company's operating income generated from its assets was insufficient to cover the total assets employed.
In 2022, Fulgent Genetics Inc's operating ROA was notably high at 52.86%, showcasing strong operational efficiency and profitability in utilizing its assets to generate earnings. This marked improvement continued from 2021 when the operating ROA was also impressive at 41.42%.
However, in 2019, Fulgent Genetics Inc experienced a negative operating ROA of -0.48%, suggesting inefficiencies in utilizing its assets for operational purposes.
Overall, it is crucial for Fulgent Genetics Inc to closely monitor and analyze its operating ROA trends to ensure efficient utilization of assets and sustainable profitability in the long run.
Peer comparison
Dec 31, 2023