Qualcomm Incorporated (QCOM)
Operating return on assets (Operating ROA)
| Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 10,071,000 | 7,788,000 | 15,860,000 | 9,789,000 | 6,255,000 |
| Total assets | US$ in thousands | 55,154,000 | 51,040,000 | 49,014,000 | 41,240,000 | 35,594,000 |
| Operating ROA | 18.26% | 15.26% | 32.36% | 23.74% | 17.57% |
September 30, 2024 calculation
Operating ROA = Operating income ÷ Total assets
= $10,071,000K ÷ $55,154,000K
= 18.26%
Qualcomm Incorporated's operating return on assets (operating ROA) has shown fluctuations over the past five years. In 2024, the operating ROA stood at 18.26%, indicating that the company generated $0.1826 in operating profit for every dollar of assets. This represents an improvement compared to the previous year (15.26% in 2023) and is a positive sign of efficiency in utilizing its assets to generate operating income.
The significant drop in operating ROA in 2023 compared to 2022's high of 32.36% may raise some concerns about the company's asset management efficiency in that particular year. However, the subsequent recovery in 2024 suggests that Qualcomm took steps to enhance its operational performance and asset utilization.
Overall, Qualcomm's operating ROA has shown variations but has generally remained at healthy levels, indicating the company's ability to generate profits from its assets. Investors and stakeholders may view the increasing trend positively as it implies improved operational efficiency and profitability.
Peer comparison
Sep 30, 2024