Regeneron Pharmaceuticals Inc (REGN)
Operating return on assets (Operating ROA)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 3,990,700 | 4,047,100 | 4,738,900 | 8,946,800 | 3,576,600 |
| Total assets | US$ in thousands | 37,759,400 | 33,080,200 | 29,214,500 | 25,434,800 | 17,163,300 |
| Operating ROA | 10.57% | 12.23% | 16.22% | 35.18% | 20.84% |
December 31, 2024 calculation
Operating ROA = Operating income ÷ Total assets
= $3,990,700K ÷ $37,759,400K
= 10.57%
Regeneron Pharmaceuticals Inc's operating return on assets (operating ROA) has shown fluctuations over the past five years. In December 2020, the company reported an operating ROA of 20.84%, indicating that for each dollar of assets, the company generated a profit of 20.84 cents from its operations.
The operating ROA increased significantly to 35.18% by December 2021, suggesting improved efficiency in asset utilization and operational performance. However, in the subsequent years, the operating ROA declined to 16.22% by December 2022, further dropping to 12.23% by December 2023, and to 10.57% by December 2024.
The decreasing trend in operating ROA from 2021 to 2024 may indicate challenges in maintaining profitability relative to the level of assets employed in the business. It is important for the company to assess the reasons behind this decline and implement strategies to enhance operational efficiency and profitability to ensure sustainable growth in the future.
Peer comparison
Dec 31, 2024