Lumentum Holdings Inc (LITE)
Return on assets (ROA)
| 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 | Dec 31, 2019 | Sep 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | -546,500 | -354,200 | -266,500 | -199,100 | -131,600 | -36,700 | 28,600 | 117,000 | 198,900 | 185,700 | 385,200 | 411,700 | 397,300 | 371,200 | 189,100 | 155,000 | 135,500 | 114,300 | -3,400 | -36,200 |
| Total assets | US$ in thousands | 3,931,900 | 4,204,500 | 4,656,000 | 4,545,000 | 4,632,100 | 4,354,000 | 4,418,100 | 4,387,400 | 4,162,200 | 4,133,500 | 3,615,700 | 3,519,000 | 3,551,600 | 3,745,900 | 3,468,200 | 3,387,400 | 3,292,600 | 3,268,700 | 3,221,200 | 2,867,800 |
| ROA | -13.90% | -8.42% | -5.72% | -4.38% | -2.84% | -0.84% | 0.65% | 2.67% | 4.78% | 4.49% | 10.65% | 11.70% | 11.19% | 9.91% | 5.45% | 4.58% | 4.12% | 3.50% | -0.11% | -1.26% |
June 30, 2024 calculation
ROA = Net income (ttm) ÷ Total assets
= $-546,500K ÷ $3,931,900K
= -13.90%
Lumentum Holdings Inc's return on assets (ROA) has shown a downward trend over the past few quarters. The ROA decreased from a high of 11.70% in March 2022 to a low of -13.90% in June 2024. This indicates that the company's ability to generate profit from its assets has deteriorated significantly in recent periods.
The negative ROA figures in the last few quarters suggest that the company is not effectively utilizing its assets to generate profits. Investors and stakeholders may be concerned about the declining ROA, as it indicates potential inefficiencies or challenges within the business operations.
It is important for Lumentum Holdings Inc to closely evaluate and address the factors contributing to the decline in ROA in order to improve the company's profitability and overall financial performance. Monitoring and improving asset utilization efficiency will be critical for the company to enhance its ROA in the future and demonstrate sustainable growth.
Peer comparison
Jun 30, 2024