Laboratory Corporation of America Holdings (LH)
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 | 1,086,700 | 747,400 | 745,600 | 717,100 | 725,600 | 1,214,300 | 1,336,000 | 1,498,500 | 1,856,600 | 2,221,300 | 2,614,200 | 2,889,500 | 3,259,500 | 3,822,100 | 4,102,300 | 3,695,900 | 2,445,400 | 1,488,600 | 781,400 | 819,400 |
| Total assets | US$ in thousands | 18,379,000 | 18,612,500 | 16,712,300 | 16,531,000 | 16,725,100 | 16,886,000 | 17,718,700 | 20,200,000 | 20,155,100 | 19,826,000 | 20,403,100 | 20,728,400 | 20,385,400 | 20,866,500 | 20,417,100 | 20,417,100 | 20,071,700 | 18,739,600 | 17,849,100 | 17,298,400 |
| Operating ROA | 5.91% | 4.02% | 4.46% | 4.34% | 4.34% | 7.19% | 7.54% | 7.42% | 9.21% | 11.20% | 12.81% | 13.94% | 15.99% | 18.32% | 20.09% | 18.10% | 12.18% | 7.94% | 4.38% | 4.74% |
December 31, 2024 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $1,086,700K ÷ $18,379,000K
= 5.91%
The operating return on assets (ROA) of Laboratory Corporation of America Holdings has shown fluctuations over the period from March 31, 2020, to December 31, 2024. The operating ROA increased from 4.74% in March 2020 to a peak of 20.09% in June 2021. This upward trend indicates an improvement in the company's ability to generate operating income relative to its total assets during that time.
However, from September 2021 to December 2024, the operating ROA gradually declined, reaching 5.91% by December 31, 2024. This decrease suggests a decrease in the company's efficiency in utilizing its assets to generate operating profits during this period.
The fluctuations in Laboratory Corporation of America Holdings' operating ROA indicate changes in the company's operational performance and asset utilization efficiency over the analyzed period. Investors and analysts may seek to understand the reasons behind these variations to assess the company's financial health and future prospects accurately.
Peer comparison
Dec 31, 2024