Quidel Corporation (QDEL)

Return on assets (ROA)

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Net income US$ in thousands -2,027,000 -10,100 548,700 704,200 810,287
Total assets US$ in thousands 6,423,600 8,563,100 8,855,800 2,430,370 1,871,160
ROA -31.56% -0.12% 6.20% 28.98% 43.30%

December 31, 2024 calculation

ROA = Net income ÷ Total assets
= $-2,027,000K ÷ $6,423,600K
= -31.56%

Quidel Corporation's Return on Assets (ROA) has exhibited a declining trend over the past five years. Starting with a robust ROA of 43.30% on December 31, 2020, the company's efficiency in generating profits from its assets decreased to 28.98% by December 31, 2021. The trend turned notably negative in the subsequent years, with ROA dropping to 6.20% on December 31, 2022, further decreasing to -0.12% on December 31, 2023, and significantly deteriorating to -31.56% by December 31, 2024.

The sharp decline in ROA indicates a decreased ability of Quidel Corporation to utilize its assets effectively to generate profits, potentially highlighting operational or financial challenges faced by the company during this period. This trend suggests a need for management to evaluate and address the factors contributing to the decline in ROA to improve the company's profitability and efficiency in asset utilization.