Eli Lilly and Company (LLY)

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	5,240,400	4,988,400	6,497,500	5,686,800	6,244,800	6,033,200	5,691,600	6,129,300	5,581,700	5,972,400	6,070,700	6,092,500	6,193,700	5,572,600	5,618,100	5,533,300	8,318,400	7,947,700	7,843,300	6,256,200
Total assets	US$ in thousands	64,006,300	57,915,500	54,814,000	53,163,000	49,489,800	47,461,500	47,063,600	46,919,300	48,806,000	48,187,000	47,809,000	46,838,300	46,633,100	43,946,000	41,967,000	41,102,800	39,286,100	37,893,100	38,666,400	38,006,800
ROA		8.19%	8.61%	11.85%	10.70%	12.62%	12.71%	12.09%	13.06%	11.44%	12.39%	12.70%	13.01%	13.28%	12.68%	13.39%	13.46%	21.17%	20.97%	20.28%	16.46%

December 31, 2023 calculation

ROA = Net income (ttm) ÷ Total assets
= $5,240,400K ÷ $64,006,300K
= 8.19%

The return on assets (ROA) for Lilly(Eli) & Co has exhibited fluctuations over the past eight quarters. In Q1 2023, the ROA was 10.70%, which decreased from the previous quarter's 11.85% in Q2 2023. This downward trend continued as the ROA further declined to 8.61% in Q3 2023 before reaching 8.19% in Q4 2023.

Comparing the most recent ROA of 8.19% in Q4 2023 to historical data, we observe a downward trajectory from the previous year. In Q4 2022, ROA stood at 12.62%, indicating a significant decrease over the course of a year. This trend is consistent with a gradual decline in profitability relative to the company's total assets.

The consistency of the trend suggests that Lilly(Eli) & Co may be facing challenges in generating profits relative to its asset base. It would be advisable for stakeholders to closely monitor this metric to assess the company's efficiency in managing its assets and generating returns for investors.