Gentherm Inc (THRM)

Return on assets (ROA)

		Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Net income (ttm)	US$ in thousands	40,343	18,051	12,034	20,657	24,441	48,694	54,553	72,272	93,434	107,379	115,839	80,726	59,690	36,151	27,892	40,965	37,506	39,681	23,439	37,347
Total assets	US$ in thousands	1,234,370	1,225,600	1,244,050	1,268,750	1,239,300	1,241,330	947,046	967,113	935,343	943,978	933,873	932,454	1,022,840	921,447	823,370	893,370	738,832	737,671	751,910	763,046
ROA		3.27%	1.47%	0.97%	1.63%	1.97%	3.92%	5.76%	7.47%	9.99%	11.38%	12.40%	8.66%	5.84%	3.92%	3.39%	4.59%	5.08%	5.38%	3.12%	4.89%

December 31, 2023 calculation

ROA = Net income (ttm) ÷ Total assets
= $40,343K ÷ $1,234,370K
= 3.27%

Based on the data provided for Gentherm Inc's Return on Assets (ROA) over the past eight quarters, there appears to be some fluctuation in the company's ROA performance. The ROA percentages range from a high of 7.47% in Q1 2022 to a low of 0.97% in Q2 2023.

The downward trend in ROA from Q1 2022 to Q2 2023 could indicate potential challenges or inefficiencies in the company's asset management or profitability during this period. It is noteworthy that the ROA has been decreasing gradually over the quarters, which may warrant further investigation into the factors influencing this trend.

While a ROA of 3.27% in Q4 2023 shows a slight improvement compared to the preceding quarters, it is still lower than some of the higher ROA values recorded in previous periods. This suggests that Gentherm Inc may need to focus on optimizing its asset utilization to enhance profitability.

Overall, monitoring Gentherm Inc's ROA closely and identifying the underlying drivers of the fluctuations will be crucial for assessing the company's financial performance and efficiency in utilizing its assets effectively.