QuinStreet Inc (QNST)

Operating return on assets (Operating ROA)

		Jun 30, 2025	Mar 31, 2025	Dec 31, 2024	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
Operating income (ttm)	US$ in thousands	6,193	878	-9,366	-19,373	-28,065	-31,964	-28,007	-25,784	-20,782	-17,633	-15,198	-13,579	-4,744	2,526	7,720	15,042	14,027	8,165	5,922	7,447
Total assets	US$ in thousands	431,107	417,235	409,647	401,172	368,546	349,251	320,917	320,965	337,155	412,479	391,893	405,527	419,909	433,763	427,591	441,933	449,917	442,495	415,057	417,112
Operating ROA		1.44%	0.21%	-2.29%	-4.83%	-7.62%	-9.15%	-8.73%	-8.03%	-6.16%	-4.27%	-3.88%	-3.35%	-1.13%	0.58%	1.81%	3.40%	3.12%	1.85%	1.43%	1.79%

June 30, 2025 calculation

Operating ROA = Operating income (ttm) ÷ Total assets
= $6,193K ÷ $431,107K
= 1.44%

The operating return on assets (ROA) of QuinStreet Inc exhibits a notable downward trend over the analyzed period, reflecting increasing challenges in generating operating income relative to its total assets.

From September 30, 2020, to September 30, 2021, the operating ROA experienced a gradual improvement, rising from 1.79% to a peak of 3.40%. This period indicates a relatively healthy operational efficiency and asset utilization. However, beginning in late 2021, the metric declined sharply, dipping to 1.81% at the end of December 2021, followed by a significant deterioration through 2022 and into 2023.

Between March 31, 2022, and September 30, 2023, the operating ROA moved into negative territory, reaching as low as -8.03%, indicating that the company's operating activities were increasingly unprofitable relative to its assets. This negative trend persisted for extended durations, with the lowest point at -9.15% on March 31, 2024. Although there was some recent improvement afterward, with the rate rising to -2.29% by December 31, 2024, and a further turnaround to 0.21% by March 31, 2025, the ROA remains near breakeven.

Overall, the data suggests that QuinStreet Inc has struggled with its operational efficiency over the recent periods, transitioning from modest positive returns to persistent losses, and only showing signs of recovery in the most recent quarter. The evolving ROA figures reflect a substantial decline in operational profitability relative to assets since the peak periods in 2021, emphasizing ongoing operational challenges or shifts in strategic effectiveness.