First Solar Inc (FSLR)

Operating return on assets (Operating ROA)

		Dec 31, 2024	Sep 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
Operating income (ttm)	US$ in thousands	1,419,693	1,235,889	1,082,405	857,266	413,576	72,258	48,570	-27,236	191,829	311,049	276,599	586,751	471,366	627,662	568,181	317,489	141,849	-24,010	-83,490	-161,785
Total assets	US$ in thousands	12,124,400	11,436,600	10,760,600	10,365,100	9,582,640	8,997,170	8,564,600	8,251,230	7,492,820	7,419,370	7,399,220	7,413,750	7,268,630	7,248,470	7,108,910	7,108,930	6,985,220	7,072,620	6,949,140	7,515,690
Operating ROA		11.71%	10.81%	10.06%	8.27%	4.32%	0.80%	0.57%	-0.33%	2.56%	4.19%	3.74%	7.91%	6.48%	8.66%	7.99%	4.47%	2.03%	-0.34%	-1.20%	-2.15%

December 31, 2024 calculation

Operating ROA = Operating income (ttm) ÷ Total assets
= $1,419,693K ÷ $12,124,400K
= 11.71%

First Solar Inc's operating return on assets (ROA) has shown fluctuating performance over the past few years. The operating ROA was negative in the initial quarters of 2019 and 2020, indicating that the company was not efficiently generating profits from its assets during those periods. However, there was a significant improvement in the operating ROA by the end of 2020, reaching 4.47%.

Subsequently, the operating ROA showed a positive trend throughout 2021 and early 2022, reaching a peak of 11.71% by the end of 2024. This indicates that First Solar Inc was able to generate substantial operating income relative to its assets during this period, demonstrating improved operational efficiency.

Overall, the upward trend in operating ROA demonstrates that First Solar Inc has been able to effectively utilize its assets to generate increasing operating profits over the analyzed period, resulting in a positive outlook for the company's operational performance.