Jazz Pharmaceuticals PLC (JAZZ)

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	414,832	79,954	-86,514	-156,287	-224,060	-18,687	-51,872	-449,853	-329,668	-160,903	40,164	518,281	238,616	179,194	133,236	280,333	523,367	608,845	655,885	486,308
Total assets	US$ in thousands	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	5,538,900	5,527,850	5,488,660	5,280,240
ROA		3.64%	0.71%	-0.77%	-1.41%	-2.07%	-0.18%	-0.46%	-3.82%	-2.68%	-1.29%	0.30%	7.67%	3.65%	2.85%	2.20%	5.38%	9.45%	11.01%	11.95%	9.21%

December 31, 2023 calculation

ROA = Net income (ttm) ÷ Total assets
= $414,832K ÷ $11,393,400K
= 3.64%

Based on the data provided, Jazz Pharmaceuticals plc's return on assets (ROA) has shown fluctuations over the past eight quarters. In Q1 2022, the ROA was the lowest at -3.82%, indicating that the company generated a negative return on its assets during that period. Subsequently, there was a slight improvement in Q2 2022 and Q3 2022, although the ROA remained negative.

The trend changed positively in Q4 2022 with a ROA of -2.07%, which although still negative, showed an improvement compared to the previous quarters. This positive momentum continued into 2023, with Q1 and Q2 returning negative ROAs of -1.41% and -0.77% respectively, but marking a gradual improvement.

The most significant improvement in ROA occurred in Q3 2023, reaching 0.71%, indicating a return to positive territory and a considerable enhancement in the company's utilization of its assets to generate profits. This positive trend continued in Q4 2023, with a notable increase to 3.64%, signaling a substantial improvement in Jazz Pharmaceuticals plc's efficiency in generating earnings from its assets.

Overall, the recent trend in the ROA of Jazz Pharmaceuticals plc suggests that the company has been able to enhance its asset utilization efficiency and profitability, as reflected in the increasing ROA figures in the last two quarters. This improvement may indicate better management of assets and potentially increased profitability for the company in the near future.