USANA Health Sciences Inc (USNA)
Operating return on assets (Operating ROA)
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | 66,324 | 82,333 | 84,339 | 90,899 | 93,071 | 91,403 | 96,426 | 101,392 | 107,614 | 116,568 | 134,708 | 159,062 | 170,192 | 191,225 | 195,810 | 181,676 | 176,491 | 168,524 | 158,627 | 150,198 |
| Total assets | US$ in thousands | 748,193 | 671,308 | 631,419 | 629,275 | 632,757 | 601,148 | 602,680 | 605,533 | 596,549 | 556,063 | 557,959 | 572,919 | 577,740 | 578,946 | 591,449 | 584,512 | 640,887 | 577,532 | 512,151 | 473,750 |
| Operating ROA | 8.86% | 12.26% | 13.36% | 14.45% | 14.71% | 15.20% | 16.00% | 16.74% | 18.04% | 20.96% | 24.14% | 27.76% | 29.46% | 33.03% | 33.11% | 31.08% | 27.54% | 29.18% | 30.97% | 31.70% |
December 31, 2024 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $66,324K ÷ $748,193K
= 8.86%
USANA Health Sciences Inc's operating return on assets (Operating ROA) has shown a gradual decline from 31.70% as of March 31, 2020, to 8.86% as of December 31, 2024. This downward trend indicates a decreasing efficiency in generating operating income relative to its total assets over the period under consideration.
The company experienced a relatively stable operating ROA in the range of 30% to 33% during the first half of 2020 and 2021, suggesting a strong ability to generate profits from its assets. However, from September 2021 onwards, there was a noticeable decline in the operating ROA, falling to 20.96% by September 30, 2022, and further dropping to 8.86% by December 31, 2024.
The decreasing trend in operating ROA could indicate challenges in maintaining profitability levels compared to the size of its asset base. This decline may raise concerns about the company's operational efficiency, asset utilization, or potential competitive pressures impacting financial performance.
Further analysis and investigation into the factors contributing to this decline in operating ROA would be necessary to determine the root causes and develop strategies for improvement in the company's profitability and asset utilization efficiency.