Perrigo Company PLC (PRGO)

Return on assets (ROA)

		Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	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
Net income (ttm)	US$ in thousands	-154,900	-119,700	-5,600	-10,800	8,800	-57,500	-130,800	-131,000	-108,700	-115,500	-108,300	-68,900	-253,500	-349,200	-230,900	-162,600	-6,600	240,200	188,600	146,100
Total assets	US$ in thousands	11,203,200	10,397,300	10,640,300	10,809,100	10,758,300	10,964,700	10,954,900	11,017,300	10,677,500	10,919,600	10,389,500	10,425,700	10,915,900	11,230,300	11,324,800	11,488,400	11,576,000	12,128,300	11,400,700	11,301,400
ROA		-1.38%	-1.15%	-0.05%	-0.10%	0.08%	-0.52%	-1.19%	-1.19%	-1.02%	-1.06%	-1.04%	-0.66%	-2.32%	-3.11%	-2.04%	-1.42%	-0.06%	1.98%	1.65%	1.29%

September 30, 2024 calculation

ROA = Net income (ttm) ÷ Total assets
= $-154,900K ÷ $11,203,200K
= -1.38%

The return on assets (ROA) for Perrigo Company PLC has been fluctuating over the past few quarters. The ROA indicates the company's ability to generate profits from its assets.

From December 2019 to September 2020, the ROA was positive, indicating profitability relative to total assets. However, starting from March 2020, the ROA turned negative, with the lowest point being in September 2021 at -3.11%.

The negative trend continued until March 2022, but there was a slight improvement in the following quarters. Despite the fluctuations, the ROA remained negative as of September 2024 at -1.38%.

The negative ROA suggests that Perrigo Company PLC has been experiencing challenges in generating profits from its assets. It is important for the company to closely evaluate its asset utilization and profitability strategies to improve its financial performance in the future.