ZoomInfo Technologies Inc. (GTM)

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 97,400 259,500 246,300 176,300 66,300
Total assets US$ in thousands 6,467,600 6,868,300 7,136,400 6,852,900 2,327,400
Operating ROA 1.51% 3.78% 3.45% 2.57% 2.85%

December 31, 2024 calculation

Operating ROA = Operating income ÷ Total assets
= $97,400K ÷ $6,467,600K
= 1.51%

The operating return on assets (ROA) for ZoomInfo Technologies Inc. has exhibited fluctuations over the specified period from December 31, 2020, to December 31, 2024. At the end of 2020, the operating ROA stood at 2.85%, reflecting the company's ability to generate operating income relative to its total assets during that year. In 2021, this ratio slightly declined to 2.57%, indicating a modest decrease in operating efficiency or profitability relative to asset utilization.

By the end of 2022, the operating ROA increased to 3.45%, suggesting an improvement in operational performance and asset management efficiency. The upward trend continued into 2023, with the ratio reaching 3.78%, which may imply enhanced profitability or more effective use of assets in generating operating income. However, in 2024, there was a significant decline to 1.51%. This sharp decrease could be attributable to various factors such as increased operating expenses, lower operating income, or a strategic shift affecting asset productivity.

Overall, the data reveals a pattern of initial stability and gradual improvement in operating ROA from 2020 through 2023, followed by a notable decrease in 2024. This trend underscores the importance of scrutinizing underlying operational and strategic factors that may have contributed to the decline in asset efficiency in 2024.