Qorvo Inc (QRVO)

Return on assets (ROA)

		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	Sep 30, 2019	Jun 30, 2019
Net income (ttm)	US$ in thousands	-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	345,452	253,613	202,659
Total assets	US$ in thousands	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	6,519,500	5,848,570	5,926,380
ROA		-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%	5.30%	4.34%	3.42%

March 31, 2024 calculation

ROA = Net income (ttm) ÷ Total assets
= $-70,322K ÷ $6,554,640K
= -1.07%

Qorvo Inc's return on assets (ROA) has shown fluctuations over the periods analyzed. The ROA deteriorated from positive figures in the past to negative values recently, indicating a decline in the company's ability to generate profits relative to its assets. Specifically, the ROA decreased from 1.54% in March 2023 to -1.07% in March 2024, reflecting a significant drop in profitability efficiency. This downward trend suggests challenges in utilizing its assets effectively to generate earnings.

It is crucial for Qorvo Inc to investigate the factors contributing to the declining ROA and take strategic actions to improve operational efficiency and profitability levels. Monitoring and enhancing asset utilization and cost management strategies may be essential to reverse the negative trend observed in the company's ROA. Additionally, a thorough analysis of the business operations and market conditions is advised to identify opportunities for enhancing financial performance and strengthening the ROA metric in the future.