Fabrinet (FN)
Operating return on assets (Operating ROA)
| 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 | Dec 31, 2019 | Sep 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | 277,605 | 265,698 | 256,217 | 253,488 | 251,704 | 246,706 | 238,539 | 223,699 | 204,518 | 191,709 | 175,726 | 160,146 | 150,753 | 135,284 | 124,833 | 121,032 | 117,402 | 121,342 | 126,420 | 126,874 |
| Total assets | US$ in thousands | 2,338,520 | 2,237,020 | 2,133,140 | 2,019,220 | 1,979,650 | 2,028,800 | 1,968,020 | 1,864,390 | 1,835,640 | 1,780,140 | 1,750,800 | 1,680,620 | 1,616,120 | 1,501,830 | 1,497,640 | 1,425,410 | 1,381,980 | 1,330,260 | 1,315,030 | 1,289,710 |
| Operating ROA | 11.87% | 11.88% | 12.01% | 12.55% | 12.71% | 12.16% | 12.12% | 12.00% | 11.14% | 10.77% | 10.04% | 9.53% | 9.33% | 9.01% | 8.34% | 8.49% | 8.50% | 9.12% | 9.61% | 9.84% |
June 30, 2024 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $277,605K ÷ $2,338,520K
= 11.87%
Operating Return on Assets (ROA) measures how effectively a company is generating profits from its assets used in its core operations. Fabrinet's Operating ROA has shown a generally increasing trend over the past few quarters, indicating improved operational efficiency and asset utilization.
The most recent Operating ROA for June 30, 2024, stood at 11.87%, slightly lower compared to the previous quarter's 11.88%. Despite this slight decline, the company has maintained a consistently strong performance, with figures above 10% over the past several quarters.
The highest Operating ROA of 12.71% was recorded on June 30, 2023, showcasing a peak in profitability and asset efficiency during that period. This was followed by a minor dip in the subsequent quarter, but the overall trend has remained positive.
Fabrinet's ability to sustain Operating ROA above 10% indicates effective management of its assets to generate profits from its core business activities. Investors and stakeholders typically view a rising trend in Operating ROA favorably, as it reflects the company's ability to translate assets into earnings efficiently.
Peer comparison
Jun 30, 2024