Innospec Inc (IOSP)

Return on assets (ROA)

		Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Net income (ttm)	US$ in thousands	139,000	127,000	126,400	129,600	133,000	131,300	116,000	106,000	92,800	91,700	81,000	19,000	28,700	37,200	54,600	116,500	112,100	101,500	92,000	91,600
Total assets	US$ in thousands	1,707,400	1,618,600	1,610,800	1,624,100	1,603,700	1,669,200	1,637,900	1,623,800	1,570,900	1,492,400	1,461,800	1,426,100	1,397,400	1,343,700	1,339,000	1,455,300	1,468,800	1,494,400	1,489,600	1,526,600
ROA		8.14%	7.85%	7.85%	7.98%	8.29%	7.87%	7.08%	6.53%	5.91%	6.14%	5.54%	1.33%	2.05%	2.77%	4.08%	8.01%	7.63%	6.79%	6.18%	6.00%

December 31, 2023 calculation

ROA = Net income (ttm) ÷ Total assets
= $139,000K ÷ $1,707,400K
= 8.14%

Innospec Inc's return on assets (ROA) has shown a generally positive trend over the past eight quarters, reflecting the company's ability to generate earnings relative to its total assets. The ROA has ranged from 6.54% to 8.29% during this period, with the latest reported ROA for Q4 2023 at 8.15%.

The upward trend in ROA indicates a consistent improvement in the company's efficiency in generating profits from its assets. A higher ROA suggests that Innospec is effectively utilizing its assets to generate earnings for its shareholders. Overall, the company's ROA performance demonstrates a sound operational performance and efficient asset management.

However, it is important to continue monitoring Innospec's ROA over time to ensure sustained profitability and efficient asset utilization.