Insulet Corporation (PODD)

Return on assets (ROA)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Net income	US$ in thousands	206,300	4,600	16,800	6,800	11,600
Total assets	US$ in thousands	2,588,200	2,251,100	2,048,800	1,872,900	1,142,900
ROA		7.97%	0.20%	0.82%	0.36%	1.01%

December 31, 2023 calculation

ROA = Net income ÷ Total assets
= $206,300K ÷ $2,588,200K
= 7.97%

Insulet Corporation's return on assets (ROA) has shown significant improvement over the past five years. In 2023, the ROA reached 7.97%, a substantial increase from the prior year's 0.20%. This indicates that the company generated $0.0797 in net income for every dollar of assets in 2023.

The upward trend in ROA is a positive indicator of Insulet's efficiency in utilizing its assets to generate profits. The company's ROA was relatively low in 2020 and 2021 at 0.36% and 0.82% respectively, but saw a significant improvement in 2022 and further remarkable growth in 2023.

Overall, the consistent increase in ROA signifies that Insulet Corporation has been effectively utilizing its assets to generate earnings, reflecting improved operational efficiency and profitability over the years.