Nextracker Inc. Class A Common Stock (NXT)

Return on assets (ROA)

		Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022
Net income (ttm)	US$ in thousands	306,241	8,418	-32,978
Total assets	US$ in thousands	2,518,780	2,095,120	2,033,560	1,656,870	1,419,680	1,259,700
ROA		12.16%	0.40%	-1.62%

March 31, 2024 calculation

ROA = Net income (ttm) ÷ Total assets
= $306,241K ÷ $2,518,780K
= 12.16%

The return on assets (ROA) for Nextracker Inc. Class A Common Stock has shown significant fluctuations over the past few quarters. In the most recent quarter ending on March 31, 2024, the ROA stood at 12.16%, indicating that the company generated a return of 12.16% on its total assets during that period.

Comparing this to the previous quarters, there has been a notable improvement from the ROA of 0.40% reported on December 31, 2023, and the negative ROA of -1.62% on September 30, 2023. The positive trend in ROA suggests that the company has been more effective in utilizing its assets to generate profits in the latest quarter.

It is essential for stakeholders to monitor these fluctuations in ROA as it reflects the company's efficiency in utilizing its assets to generate earnings. A higher ROA indicates better asset utilization and profitability, while a lower or negative ROA could signal potential operational inefficiencies or poor financial performance. Further analysis of the company's operational strategies and financial health may provide insights into the factors driving these fluctuations in ROA.