Intel Corporation (INTC)
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 | 93,000 | 2,334,000 | 19,456,000 | 23,678,000 | 22,035,000 |
| Total assets | US$ in thousands | 191,572,000 | 182,103,000 | 168,406,000 | 153,091,000 | 136,524,000 |
| Operating ROA | 0.05% | 1.28% | 11.55% | 15.47% | 16.14% |
December 31, 2023 calculation
Operating ROA = Operating income ÷ Total assets
= $93,000K ÷ $191,572,000K
= 0.05%
Operating return on assets (ROA) for Intel Corporation has shown a declining trend over the past five years. In 2019, the company generated an operating ROA of 16.14%, indicating strong operational efficiency in utilizing its assets to generate earnings. However, this figure decreased to 15.47% in 2020 and further dropped to 11.55% in 2021, suggesting a decline in the company's operational performance.
The trend continued in subsequent years, with operating ROA falling to 1.28% in 2022 and reaching a notably low level of 0.05% in 2023. This decline may raise concerns about Intel's ability to effectively generate earnings from its operating activities relative to its total assets.
A decreasing operating ROA can imply inefficiencies in the company's operations or a decrease in profitability relative to its asset base. Investors and stakeholders may scrutinize the reasons behind this trend and assess Intel's strategies to improve operational efficiency and profitability in the future.
Peer comparison
Dec 31, 2023