Semtech Corporation (SMTC)
Return on assets (ROA)
| Jan 31, 2025 | Jan 31, 2024 | Jan 28, 2024 | Jan 31, 2023 | Jan 29, 2023 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | -161,896 | -1,092,030 | -1,092,030 | 61,380 | 61,380 |
| Total assets | US$ in thousands | 1,419,260 | 1,373,740 | 1,373,740 | 2,569,630 | 2,569,630 |
| ROA | -11.41% | -79.49% | -79.49% | 2.39% | 2.39% |
January 31, 2025 calculation
ROA = Net income ÷ Total assets
= $-161,896K ÷ $1,419,260K
= -11.41%
The return on assets (ROA) of Semtech Corporation has shown significant fluctuations over the past few years. From January 29, 2023, to January 31, 2023, the ROA remained stable at 2.39%. However, there was a substantial decline in ROA by January 28, 2024, and January 31, 2024, where it plummeted to -79.49%, indicating a significant decrease in profitability relative to assets.
Additionally, by January 31, 2025, the ROA improved slightly to -11.41% but still remains in negative territory. This suggests that Semtech Corporation is struggling to generate sufficient earnings from its assets to cover its expenses and sustain profitability.
The negative ROA figures indicate that Semtech Corporation is experiencing challenges in effectively utilizing its assets to generate profits, which may indicate underlying issues in operational efficiency or declining financial performance. Further analysis and investigation into the company's financial health and operational factors may be necessary to address these concerns.
Peer comparison
Jan 31, 2025