Illumina Inc (ILMN)
Return on assets (ROA)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | -1,161,000 | -4,404,000 | 762,000 | 656,000 | 1,002,000 |
| Total assets | US$ in thousands | 10,111,000 | 12,252,000 | 15,217,000 | 7,585,000 | 7,316,000 |
| ROA | -11.48% | -35.95% | 5.01% | 8.65% | 13.70% |
December 31, 2023 calculation
ROA = Net income ÷ Total assets
= $-1,161,000K ÷ $10,111,000K
= -11.48%
The return on assets (ROA) for Illumina Inc has shown a significant decline over the years, as evidenced by the following figures: -11.48% in 2023, -35.95% in 2022, 5.01% in 2021, 8.65% in 2020, and 13.70% in 2019. This trend indicates that the company's ability to generate profits from its assets has deteriorated in recent years.
The negative ROA values in 2023 and 2022 suggest that Illumina Inc's net income generated from its assets has been insufficient to cover its total assets, resulting in a loss. The positive ROA values in 2021, 2020, and 2019 indicate that the company was able to generate profits from its assets during those years, although the ROA has been trending downwards over this period.
Overall, the declining trend in Illumina Inc's ROA suggests potential inefficiencies in asset utilization and profitability challenges that may require management's attention to improve the company's financial performance and operational efficiency.
Peer comparison
Dec 31, 2023