Molina Healthcare Inc (MOH)
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 | 1,707,000 | 1,643,000 | 1,535,000 | 1,544,000 | 1,573,000 | 1,362,000 | 1,338,000 | 1,256,000 | 1,173,000 | 1,259,000 | 1,145,000 | 1,057,000 | 1,020,000 | 920,000 | 988,000 | 1,139,000 | 1,078,000 | 1,229,000 | 1,197,000 | 1,038,000 |
| Total assets | US$ in thousands | 15,630,000 | 15,758,000 | 15,185,000 | 15,513,000 | 14,892,000 | 14,870,000 | 13,661,000 | 13,371,000 | 12,314,000 | 12,793,000 | 12,572,000 | 12,360,000 | 12,209,000 | 11,033,000 | 10,530,000 | 9,950,000 | 9,532,000 | 7,881,000 | 7,876,000 | 7,129,000 |
| Operating ROA | 10.92% | 10.43% | 10.11% | 9.95% | 10.56% | 9.16% | 9.79% | 9.39% | 9.53% | 9.84% | 9.11% | 8.55% | 8.35% | 8.34% | 9.38% | 11.45% | 11.31% | 15.59% | 15.20% | 14.56% |
December 31, 2024 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $1,707,000K ÷ $15,630,000K
= 10.92%
Operating return on assets (ROA) is a key financial ratio that measures a company's ability to generate earnings from its operational assets. The trend analysis of Molina Healthcare Inc's operating ROA from March 2020 to December 2024 shows some fluctuations in the performance of the company.
The operating ROA started at 14.56% in March 2020 and experienced a slight increase to 15.20% by June 2020. This upward trend continued, reaching its peak at 15.59% in September 2020. However, the ratio declined in the following quarters, dropping to 11.31% by December 2020. The trend of decreasing performance persisted into the first half of 2021, with operating ROA further declining to 9.38% by June 2021.
The company's operating ROA showed some signs of recovery in the second half of 2021, increasing to 9.84% by September 2021, but remained relatively stable around 8-9% for the rest of 2021 and into early 2022. From March 2022 to September 2023, the ratio fluctuated within the range of 8-10%, indicating some inconsistency in the company's ability to generate earnings from its assets.
In the last quarter of 2023, there was a notable increase in operating ROA to 10.56%, suggesting improved operational efficiency. This positive trend continued into 2024, with the ratio steadily rising to 10.92% by December 2024, indicating that Molina Healthcare Inc managed to enhance its performance in utilizing its assets to generate profits during this period.
Overall, the trend analysis of Molina Healthcare Inc's operating ROA indicates some fluctuations in performance over the years, with periods of both decline and improvement. It is essential for investors and stakeholders to monitor these fluctuations to gauge the company's operational efficiency and profitability.
Peer comparison
Dec 31, 2024