Semtech Corporation (SMTC)
Return on assets (ROA)
| Jan 28, 2024 | Oct 29, 2023 | Jul 30, 2023 | Apr 30, 2023 | Jan 29, 2023 | Oct 30, 2022 | Jul 31, 2022 | May 1, 2022 | Jan 30, 2022 | Oct 31, 2021 | Aug 1, 2021 | May 2, 2021 | Jan 31, 2021 | Oct 25, 2020 | Jul 26, 2020 | Apr 26, 2020 | Jan 26, 2020 | Oct 27, 2019 | Jul 28, 2019 | Apr 28, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | -1,092,030 | -500,680 | -439,684 | -6,084 | 61,380 | 147,197 | 158,878 | 140,213 | 125,664 | 106,516 | 90,576 | 73,768 | 59,903 | 47,181 | 42,691 | 31,932 | 35,591 | 52,580 | 50,748 | 70,551 |
| Total assets | US$ in thousands | 1,373,740 | 2,038,130 | 2,118,600 | 2,500,020 | 2,569,630 | 1,466,850 | 1,199,830 | 1,115,920 | 1,130,910 | 1,121,300 | 1,100,000 | 1,069,620 | 1,082,100 | 1,047,970 | 1,054,030 | 1,023,350 | 1,052,430 | 1,039,140 | 1,056,310 | 1,053,410 |
| ROA | -79.49% | -24.57% | -20.75% | -0.24% | 2.39% | 10.03% | 13.24% | 12.56% | 11.11% | 9.50% | 8.23% | 6.90% | 5.54% | 4.50% | 4.05% | 3.12% | 3.38% | 5.06% | 4.80% | 6.70% |
January 28, 2024 calculation
ROA = Net income (ttm) ÷ Total assets
= $-1,092,030K ÷ $1,373,740K
= -79.49%
Semtech Corporation's return on assets (ROA) has displayed significant fluctuations over the past several quarters. The ROA was negative in the most recent quarter at -79.49%, indicating that the company's net income is insufficient to cover its total assets. This suggests potential financial distress or inefficiency in asset utilization.
Looking at the trend over the previous quarters, there has been a general downward trend in ROA from the peak of 13.24% in the quarter ending July 31, 2022. The company's ROA turned negative in the quarter ending Jan 28, 2024, indicating a sharp decline in profitability and asset utilization compared to previous quarters.
The positive ROA figures observed in some quarters suggest that Semtech Corporation has previously been able to generate a positive return on its assets. However, the recent negative and decreasing ROA figures raise concerns about the company's ability to generate earnings from its assets efficiently.
Overall, Semtech Corporation's ROA trend indicates a need for further investigation into its financial performance, asset management, and profitability drivers to address the recent decline and potentially improve its overall performance.
Peer comparison
Jan 28, 2024