Innoviva Inc (INVA)
Return on assets (ROA)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 179,722 | 213,921 | 265,854 | 224,402 | 157,288 |
| Total assets | US$ in thousands | 1,243,510 | 1,231,500 | 926,395 | 999,570 | 724,826 |
| ROA | 14.45% | 17.37% | 28.70% | 22.45% | 21.70% |
December 31, 2023 calculation
ROA = Net income ÷ Total assets
= $179,722K ÷ $1,243,510K
= 14.45%
Innoviva Inc's return on assets (ROA) has exhibited fluctuations over the past five years. In 2023, the ROA decreased to 14.45% from 17.37% in 2022. This decline indicates that the company's ability to generate profits from its assets decreased in 2023 compared to the previous year.
Furthermore, comparing the ROA of 2023 to earlier years, we observe a downward trend from the peak ROA of 28.70% in 2021. This suggests that Innoviva Inc's asset utilization efficiency has been gradually decreasing since 2021.
Overall, the declining trend in ROA over the past few years indicates a gradual reduction in the company's ability to generate earnings relative to its total assets. Further analysis is recommended to understand the factors contributing to this trend and to identify areas for potential improvement in asset efficiency and profitability.
Peer comparison
Dec 31, 2023