Silicon Laboratories Inc (SLAB)
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 | -165,490 | -24,154 | 119,260 | -32,838 | -107,088 |
| Total assets | US$ in thousands | 1,222,670 | 1,443,060 | 2,169,430 | 2,958,300 | 1,993,490 |
| Operating ROA | -13.54% | -1.67% | 5.50% | -1.11% | -5.37% |
December 31, 2024 calculation
Operating ROA = Operating income ÷ Total assets
= $-165,490K ÷ $1,222,670K
= -13.54%
Operating ROA measures a company's ability to generate operating income from its assets. Silicon Laboratories Inc's operating ROA has fluctuated over the past five years. In December 2020, the company's operating ROA was -5.37%, indicating a negative return on assets. However, by December 2022, the operating ROA improved significantly to 5.50%, suggesting the company was more efficient in generating operating income from its assets.
In December 2021, December 2023, and December 2024, Silicon Laboratories Inc's operating ROA was -1.11%, -1.67%, and -13.54% respectively. These numbers indicate a negative trend in the company's operating efficiency and profitability, as it was unable to generate positive returns on its assets in those years. It is essential for the company to focus on improving operational efficiency and profitability to enhance its overall financial performance and create value for its stakeholders.
Peer comparison
Dec 31, 2024