Qorvo Inc (QRVO)

Return on assets (ROA)

		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	Jun 30, 2020	Mar 31, 2020
Net income (ttm)	US$ in thousands	26,985	-141,224	-26,328	-70,322	-211,473	-100,466	-9,312	103,152	453,843	686,037	816,611	1,033,353	1,119,815	1,104,587	922,315	733,611	485,264	445,585	391,706	334,325
Total assets	US$ in thousands	5,963,100	6,503,080	6,447,300	6,554,640	6,699,390	6,718,520	6,686,590	6,691,900	7,076,220	7,374,730	7,330,520	7,509,070	7,626,580	7,576,460	7,271,860	7,221,470	7,041,380	7,824,420	6,882,690	6,560,680
ROA		0.45%	-2.17%	-0.41%	-1.07%	-3.16%	-1.50%	-0.14%	1.54%	6.41%	9.30%	11.14%	13.76%	14.68%	14.58%	12.68%	10.16%	6.89%	5.69%	5.69%	5.10%

December 31, 2024 calculation

ROA = Net income (ttm) ÷ Total assets
= $26,985K ÷ $5,963,100K
= 0.45%

Qorvo Inc's return on assets (ROA) has shown varying trends over the quarterly periods reviewed. From March 31, 2020, to December 31, 2021, the ROA consistently improved, indicating increasing efficiency in generating profits from its assets. The peak ROA of 14.68% was achieved by the end of December 31, 2021, suggesting strong profitability relative to its asset base.

However, starting from the first quarter of 2022, the ROA began to decline, dropping to 6.41% by the end of December 31, 2022. This decline continued into the following quarters, reaching negative values by March 31, 2023. The negative ROA indicates that the company was experiencing difficulty in generating profits from its assets, potentially due to inefficiencies or declining revenues relative to assets.

By the end of December 31, 2024, the ROA had improved slightly to 0.45%, showing a modest recovery from the negative values. The decreasing and then recovering ROA during this period may indicate challenges faced by Qorvo Inc in efficiently utilizing its assets, which subsequently impacted its profitability. Monitoring the ROA trend is crucial for investors and analysts to assess the company's ability to generate earnings from its asset base.