Insulet Corporation (PODD)

Operating return on assets (Operating ROA)

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Operating income US$ in thousands 308,900 220,000 -26,700 66,700 -600
Total assets US$ in thousands 3,087,700 2,588,200 2,251,100 2,048,800 1,872,900
Operating ROA 10.00% 8.50% -1.19% 3.26% -0.03%

December 31, 2024 calculation

Operating ROA = Operating income ÷ Total assets
= $308,900K ÷ $3,087,700K
= 10.00%

Insulet Corporation's operating return on assets (operating ROA) has displayed fluctuations over the years. In December 31, 2020, the company reported a negative operating ROA of -0.03%, indicating that the company's operating profit was insufficient to cover its total assets. However, the situation improved significantly by December 31, 2021, as the operating ROA increased to 3.26%, reflecting greater efficiency in generating operating income relative to its assets.

In December 31, 2022, there was a decline in the operating ROA to -1.19%, suggesting that operating performance worsened, leading to a negative return on assets. Nevertheless, the company rebounded strongly by December 31, 2023, achieving an impressive operating ROA of 8.50%, indicating efficient utilization of assets to generate operating profit.

By December 31, 2024, Insulet Corporation further improved its operating ROA to 10.00%, demonstrating continued growth in operating profitability relative to its asset base. Overall, the trend in operating ROA indicates evolving operational efficiency and effectiveness at Insulet Corporation over the years, with notable improvements in recent periods.