IDEXX Laboratories Inc (IDXX)

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	1,128,340	1,097,130	898,765	932,028	694,524
Total assets	US$ in thousands	3,293,440	3,259,920	2,746,760	2,437,200	2,294,560
Operating ROA		34.26%	33.66%	32.72%	38.24%	30.27%

December 31, 2024 calculation

Operating ROA = Operating income ÷ Total assets
= $1,128,340K ÷ $3,293,440K
= 34.26%

To analyze IDEXX Laboratories Inc's operating return on assets (ROA) over the past five years:

1. Operating ROA significantly increased from 30.27% as of December 31, 2020, to 38.24% as of December 31, 2021, indicating improved operational efficiency and profitability.

2. The company's operating ROA continued to show strength in subsequent years, reaching 32.72% by December 31, 2022, 33.66% by December 31, 2023, and 34.26% by December 31, 2024.

3. IDEXX Laboratories Inc's operating ROA demonstrates consistent performance above 30%, reflecting effective utilization of assets to generate operating income.

4. The upward trend in operating ROA suggests that the company is efficiently managing its operational activities and effectively converting assets into profits.

5. Investors and stakeholders may view IDEXX Laboratories Inc's improving operating ROA positively as it signifies the company's ability to generate higher returns from its operational activities over the years.