Jazz Pharmaceuticals PLC (JAZZ)

Operating return on assets (Operating ROA)

Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 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
Operating income (ttm) US$ in thousands 726,630 738,084 650,266 608,459 658,307 567,697 553,716 481,626 443,120 380,886 250,844 95,708 170,278 294,312 462,150 729,866 378,073 265,904 202,800 208,957
Total assets US$ in thousands 12,012,300 12,255,700 11,361,900 11,327,100 11,393,400 11,204,100 11,260,500 11,047,100 10,835,300 10,384,700 11,200,100 11,768,900 12,298,600 12,478,200 13,213,000 6,756,470 6,535,900 6,291,960 6,066,500 5,215,300
Operating ROA 6.05% 6.02% 5.72% 5.37% 5.78% 5.07% 4.92% 4.36% 4.09% 3.67% 2.24% 0.81% 1.38% 2.36% 3.50% 10.80% 5.78% 4.23% 3.34% 4.01%

December 31, 2024 calculation

Operating ROA = Operating income (ttm) ÷ Total assets
= $726,630K ÷ $12,012,300K
= 6.05%

Operating return on assets (ROA) is a key financial ratio that indicates how efficiently a company is generating earnings from its assets used for operations. Looking at the data provided for Jazz Pharmaceuticals PLC, the operating ROA fluctuated over the periods from March 31, 2020, to December 31, 2024.

The operating ROA ranged from a low of 0.81% on March 31, 2022, to a high of 10.80% on March 31, 2021. It is essential to note that the operating ROA experienced some variability, with both peaks and troughs across different quarters. This variability may indicate changes in profitability and asset utilization efficiency for Jazz Pharmaceuticals PLC.

Overall, the trend in operating ROA shows some level of volatility, but it appears that the company was able to maintain a relatively positive operating ROA over the periods analyzed. The higher the operating ROA, the better a company is at generating profit from its operational assets. Monitoring this ratio over time can help assess the company's operational efficiency and profitability performance.