OSI Systems Inc (OSIS)

Operating return on assets (Operating ROA)

		Jun 30, 2024	Jun 30, 2023	Jun 30, 2022	Jun 30, 2021	Jun 30, 2020
Operating income	US$ in thousands	189,061	135,279	121,749	115,371	104,887
Total assets	US$ in thousands	1,936,010	1,555,690	1,443,150	1,384,370	1,268,540
Operating ROA		9.77%	8.70%	8.44%	8.33%	8.27%

June 30, 2024 calculation

Operating ROA = Operating income ÷ Total assets
= $189,061K ÷ $1,936,010K
= 9.77%

OSI Systems Inc's operating return on assets (operating ROA) has shown a positive trend over the past five years. The operating ROA increased from 8.27% in Jun 30, 2020 to 9.77% in Jun 30, 2024. This indicates that the company has been able to generate more operating income relative to its assets over time.

This improvement in operating ROA suggests that OSI Systems Inc has become more efficient in generating earnings from its assets. It could be due to effective cost management, increased productivity, or improved operational efficiency.

Overall, the increasing trend in operating ROA reflects positively on the company's ability to utilize its assets effectively to generate operating income. Investors and stakeholders may view this trend as a sign of improved financial performance and operational effectiveness within OSI Systems Inc.