Gilead Sciences Inc (GILD)
Operating return on assets (Operating ROA)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 1,662,000 | 7,605,000 | 7,330,000 | 7,406,000 | 7,029,000 |
| Total assets | US$ in thousands | 58,995,000 | 62,125,000 | 63,171,000 | 67,952,000 | 68,407,000 |
| Operating ROA | 2.82% | 12.24% | 11.60% | 10.90% | 10.28% |
December 31, 2024 calculation
Operating ROA = Operating income ÷ Total assets
= $1,662,000K ÷ $58,995,000K
= 2.82%
The operating return on assets (operating ROA) for Gilead Sciences Inc has shown a generally increasing trend from 2020 to 2023. The ratio increased from 10.28% in December 31, 2020, to 12.24% in December 31, 2023, indicating improved efficiency in generating operating income relative to the company's assets.
However, there was a notable decline in operating ROA in December 31, 2024, where the ratio dropped to 2.82%. This significant decrease may raise concerns about the company's ability to effectively utilize its assets to generate operating profits during that period.
Overall, despite the fluctuation in 2024, the upward trend in operating ROA observed from 2020 to 2023 suggests that Gilead Sciences Inc has been efficient in utilizing its assets to generate operating income, although monitoring future trends is essential to assess the company's ongoing performance.
Peer comparison
Dec 31, 2024