Pacira Pharmaceuticals Inc (PCRX)

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	41,955	6,983	-4,568	-10,455	15,909	20,881	39,234	38,439	41,980	61,624	174,083	147,733	145,523	126,121	-10,085	-86	-11,016	2,157	7,604	7,438
Total assets	US$ in thousands	1,574,390	1,534,460	1,542,380	1,523,420	1,681,200	1,734,360	1,733,990	1,891,480	2,075,350	1,356,000	1,325,830	1,287,550	1,274,510	1,220,270	866,111	821,379	831,065	807,489	787,843	719,156
ROA		2.66%	0.46%	-0.30%	-0.69%	0.95%	1.20%	2.26%	2.03%	2.02%	4.54%	13.13%	11.47%	11.42%	10.34%	-1.16%	-0.01%	-1.33%	0.27%	0.97%	1.03%

December 31, 2023 calculation

ROA = Net income (ttm) ÷ Total assets
= $41,955K ÷ $1,574,390K
= 2.66%

Pacira BioSciences Inc's return on assets (ROA) has exhibited fluctuating trends over the past eight quarters. The ROA was highest in Q4 2023 at 2.66%, indicating that the company generated $2.66 in earnings for every $100 of assets. This marked a significant improvement from the previous quarter's 0.46% ROA.

However, prior to this, Pacira's ROA had been on a downward trajectory, with negative returns in Q2 2023 and Q1 2023, suggesting that the company was not effectively utilizing its assets to generate profits during those periods. The ROA rebounded in Q4 2022 to 0.95% after peaking at 2.26% in Q2 2022.

Overall, Pacira's ROA performance indicates varied efficiency in utilizing its assets to generate earnings. It is important for the company to sustain improvements in ROA to demonstrate effective management of its asset base for continued profitability.