Fulgent Genetics Inc (FLGT)
Operating return on assets (Operating ROA)
Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Operating income (ttm) | US$ in thousands | -73,918 | -88,670 | -71,377 | -72,269 | -75,295 | -80,986 | -80,638 | -42,254 | 184,503 | 371,941 | 530,652 | 610,964 | 675,953 | 751,002 | 655,252 | 558,994 | 290,158 | 63,840 | 1,826 | -519 |
Total assets | US$ in thousands | 1,219,960 | 1,233,760 | 1,232,240 | 1,229,880 | 1,273,110 | 1,358,400 | 1,354,580 | 1,376,770 | 1,386,050 | 1,405,780 | 1,461,660 | 1,465,590 | 1,278,720 | 1,204,670 | 1,049,860 | 999,083 | 700,461 | 247,311 | 95,915 | 89,325 |
Operating ROA | -6.06% | -7.19% | -5.79% | -5.88% | -5.91% | -5.96% | -5.95% | -3.07% | 13.31% | 26.46% | 36.30% | 41.69% | 52.86% | 62.34% | 62.41% | 55.95% | 41.42% | 25.81% | 1.90% | -0.58% |
December 31, 2024 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $-73,918K ÷ $1,219,960K
= -6.06%
Operating Return on Assets (Operating ROA) is a key financial ratio that measures a company's ability to generate operating profits from its assets. Looking at the data provided for Fulgent Genetics Inc, we see significant fluctuations in the operating ROA over the period from March 31, 2020, to December 31, 2024.
- The company experienced a negative operating ROA of -0.58% on March 31, 2020, indicating that it had a profit margin deficiency relative to its total assets.
- However, the operating ROA improved to 1.90% by June 30, 2020, showing a positive trend in utilizing assets efficiently to generate operating income.
- Subsequently, there was a substantial increase in operating ROA to 25.81% by September 30, 2020, indicating a significant improvement in profitability relative to asset utilization.
- The trend continued to be positive, with operating ROA reaching its peak at 62.41% on June 30, 2021, showing the company's effectiveness in generating profits from its assets.
- However, after reaching its peak, the operating ROA started to decline gradually, with a decreasing trend observed from March 31, 2022, to December 31, 2024, where it stood at -6.06%.
- The negative operating ROA values from March 31, 2023, to December 31, 2024, suggest that the company may not be generating sufficient operating profits with its current asset base, possibly indicating operational challenges or inefficiencies.
In summary, Fulgent Genetics Inc's operating ROA exhibited both positive and negative trends over the period analyzed, indicating fluctuations in the company's ability to generate operating profits in relation to its assets. It is essential for stakeholders to closely monitor these fluctuations and assess the underlying reasons contributing to the changes in the operating ROA to make informed investment or strategic decisions.
Peer comparison
Dec 31, 2024