United Therapeutics Corporation (UTHR)
Return on assets (ROA)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 984,800 | 727,300 | 475,800 | 514,800 | -104,500 |
| Total assets | US$ in thousands | 7,167,000 | 6,044,500 | 5,169,100 | 4,615,000 | 3,913,400 |
| ROA | 13.74% | 12.03% | 9.20% | 11.15% | -2.67% |
December 31, 2023 calculation
ROA = Net income ÷ Total assets
= $984,800K ÷ $7,167,000K
= 13.74%
United Therapeutics Corp's return on assets (ROA) has shown a positive trend over the past five years, indicating the company's improved ability to generate profits from its assets. In 2019, the ROA was negative at -2.67%, reflecting a period of inefficiency in asset utilization. However, the company managed to turn this around in subsequent years, with ROA increasing to 11.15% in 2020, further improving to 9.20% in 2021, and reaching 12.03% in 2022.
The most recent data for December 31, 2023, shows a significant increase in ROA to 13.74%. This suggests that the company has been able to enhance its profitability relative to its asset base, which is a positive sign for investors and stakeholders. Overall, the increasing trend in ROA indicates that United Therapeutics Corp has been effectively managing and utilizing its assets to generate returns for its shareholders.
Peer comparison
Dec 31, 2023