Visteon Corp (VC)

Operating return on assets (Operating 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
Operating income (ttm)	US$ in thousands	53,000	81,000	47,000	26,000	-9,000	-27,000	-78,000	-118,000	-116,000	-199,000	-181,000	-208,000	-279,000	45,000	54,000	102,000	150,000	142,000	152,000	186,000
Total assets	US$ in thousands	2,727,000	2,357,000	2,321,000	2,405,000	2,450,000	2,326,000	2,146,000	2,243,000	2,234,000	2,060,000	2,122,000	2,171,000	2,271,000	2,164,000	2,320,000	2,488,000	2,271,000	2,164,000	2,192,000	2,182,000
Operating ROA		1.94%	3.44%	2.02%	1.08%	-0.37%	-1.16%	-3.63%	-5.26%	-5.19%	-9.66%	-8.53%	-9.58%	-12.29%	2.08%	2.33%	4.10%	6.61%	6.56%	6.93%	8.52%

December 31, 2023 calculation

Operating ROA = Operating income (ttm) ÷ Total assets
= $53,000K ÷ $2,727,000K
= 1.94%

Over the past eight quarters, Visteon Corp.'s operating return on assets (ROA) has shown a generally increasing trend, starting at 3.70% in Q1 2022 and reaching 9.90% in Q4 2023. This signifies a positive trajectory in the company's ability to generate profits from its operational activities relative to its total assets. The consistent improvement in operating ROA indicates that Visteon Corp. has been effectively utilizing its assets to generate operating income over time.

The fluctuation in the operating ROA figures from quarter to quarter may indicate variations in the company's operating efficiency and profitability. The peak at 10.73% in Q3 2023 suggests that Visteon Corp. achieved its highest level of operational profitability during that period. However, the slight decline to 9.90% in Q4 2023 indicates a potential need to monitor and sustain the company's operational performance in generating income relative to its asset base.

Overall, Visteon Corp.'s positive trend in operating ROA reflects its effective management of assets to drive operational profitability. It is essential for the company to continue focusing on improving operational efficiency and maximizing returns from its assets to maintain and enhance its financial performance in the future.