Fortinet Inc (FTNT)
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 | 1,801,100 | 1,612,400 | 1,444,700 | 1,287,700 | 1,241,100 | 1,213,500 | 1,175,800 | 1,092,100 | 969,600 | 826,700 | 727,600 | 679,800 | 650,400 | 604,900 | 565,400 | 534,600 | 528,900 | 477,900 | 451,000 | 409,500 |
| Total assets | US$ in thousands | 9,763,100 | 8,852,000 | 8,052,900 | 7,662,100 | 7,258,900 | 7,479,300 | 7,486,100 | 6,832,300 | 6,228,000 | 5,335,900 | 5,294,500 | 5,651,100 | 5,919,100 | 5,970,600 | 5,558,900 | 5,282,200 | 4,044,500 | 3,586,200 | 3,330,600 | 3,206,200 |
| Operating ROA | 18.45% | 18.22% | 17.94% | 16.81% | 17.10% | 16.22% | 15.71% | 15.98% | 15.57% | 15.49% | 13.74% | 12.03% | 10.99% | 10.13% | 10.17% | 10.12% | 13.08% | 13.33% | 13.54% | 12.77% |
December 31, 2024 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $1,801,100K ÷ $9,763,100K
= 18.45%
Operating return on assets (Operating ROA) is a key financial ratio that measures a company's efficiency in generating operating profits relative to its total assets.
Analyzing Fortinet Inc's Operating ROA from March 31, 2020, to December 31, 2024, we observe fluctuations in the ratio over time. The trend indicates that the company's ability to generate operating profits from its assets has varied, showing both peaks and troughs.
The Operating ROA started at 12.77% on March 31, 2020, and increased to a peak of 18.45% by December 31, 2024. The ratio generally showed an upward trend, with occasional fluctuations along the way.
From December 31, 2022, to December 31, 2024, there was a notable increase in Operating ROA, indicating improved operational efficiency in utilizing assets to generate profits. This upward trend suggests that Fortinet Inc may have implemented effective strategies to enhance asset productivity and profitability during this period.
However, it is essential to note that Operating ROA dipped slightly in the first quarter of 2023, but quickly rebounded and continued to increase thereafter. This could indicate a temporary setback or a strategic change that may have affected the company's asset utilization.
Overall, the increasing trend in Fortinet Inc's Operating ROA from 2020 to 2024 reflects a positive signal of the company's operational efficiency and profitability in utilizing its assets to generate operating income. Investors and stakeholders may view this as a favorable indicator of the company's financial health and performance over the analyzed period.
Peer comparison
Dec 31, 2024