Semtech Corporation (SMTC)
Return on assets (ROA)
| Jan 31, 2025 | Oct 31, 2024 | Jul 31, 2024 | Apr 30, 2024 | Jan 31, 2024 | Jan 28, 2024 | Oct 31, 2023 | Oct 29, 2023 | Jul 31, 2023 | Jul 30, 2023 | Apr 30, 2023 | Jan 31, 2023 | Jan 29, 2023 | Oct 31, 2022 | Oct 30, 2022 | Jul 31, 2022 | May 1, 2022 | Apr 30, 2022 | Jan 31, 2022 | Jan 30, 2022 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | -161,940 | -843,403 | -1,478,180 | -1,346,135 | -1,361,226 | -1,100,865 | -840,504 | -831,664 | -844,427 | -513,438 | -108,690 | -56,534 | 46,077 | 135,139 | 150,442 | 162,500 | 145,706 | 142,084 | 136,968 | 135,097 |
| Total assets | US$ in thousands | 1,419,300 | 1,379,000 | 1,368,000 | 1,376,510 | 1,373,740 | 1,373,740 | 2,038,130 | 2,038,130 | 2,118,600 | 2,118,600 | 2,500,020 | 2,569,630 | 2,569,630 | 1,466,850 | 1,466,850 | 1,199,830 | 1,115,920 | 1,115,920 | 1,130,910 | 1,130,910 |
| ROA | -11.41% | -61.16% | -108.05% | -97.79% | -99.09% | -80.14% | -41.24% | -40.81% | -39.86% | -24.23% | -4.35% | -2.20% | 1.79% | 9.21% | 10.26% | 13.54% | 13.06% | 12.73% | 12.11% | 11.95% |
January 31, 2025 calculation
ROA = Net income (ttm) ÷ Total assets
= $-161,940K ÷ $1,419,300K
= -11.41%
Semtech Corporation's return on assets (ROA) has experienced significant fluctuations over the period from January 30, 2022, to January 31, 2025. The ROA ranged from a high of 13.54% on July 31, 2022, to a low of -108.05% on July 31, 2024, indicating a substantial decline in profitability and efficiency in generating profits relative to its assets.
The ROA started positively at around 11-13% between January 2022 and July 2022, suggesting effective asset utilization and profitability. However, the trend reversed from October 2022 onwards, with the ROA turning negative and plummeting to -108.05% in July 2024, reflecting significant operational challenges and potential financial distress.
The negative ROA figures from October 2022 to January 2025 indicate that Semtech Corporation's assets were not generating sufficient profits or were being mismanaged, leading to overall poor financial performance and declining efficiency in utilizing its resources.
Overall, the declining trend in Semtech Corporation's ROA highlights the importance of closely monitoring and addressing operational and financial issues to improve profitability and asset management in order to enhance the company's long-term financial health and sustainability.
Peer comparison
Jan 31, 2025