InterDigital Inc (IDCC)
Operating return on assets (Operating ROA)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 221,615 | 150,516 | 71,206 | 55,168 | 37,835 |
| Total assets | US$ in thousands | 1,770,810 | 1,900,100 | 1,628,160 | 1,616,280 | 1,612,080 |
| Operating ROA | 12.51% | 7.92% | 4.37% | 3.41% | 2.35% |
December 31, 2023 calculation
Operating ROA = Operating income ÷ Total assets
= $221,615K ÷ $1,770,810K
= 12.51%
Interdigital Inc's operating return on assets (ROA) has shown a positive trend over the past five years, consistently improving from 2.35% in 2019 to 12.51% in 2023. This indicates that the company has been able to generate more operating profit relative to its total assets each year.
The significant increase in operating ROA from 2022 to 2023 suggests a notable improvement in efficiency and profitability. The company has managed to utilize its assets more effectively to generate operating income, reflecting potentially improved management strategies or cost controls.
Overall, the increasing trend in Interdigital Inc's operating ROA indicates a positive performance in terms of utilizing its assets efficiently to generate operating profits over the years. This indicates a positive outlook in terms of the company's operational performance and management effectiveness.
Peer comparison
Dec 31, 2023