Viavi Solutions Inc (VIAV)
Operating return on assets (Operating ROA)
| Jun 30, 2025 | Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 58,200 | 20,800 | 82,400 | 185,000 | 142,200 |
| Total assets | US$ in thousands | 1,993,800 | 1,736,300 | 1,850,500 | 1,827,900 | 1,961,400 |
| Operating ROA | 2.92% | 1.20% | 4.45% | 10.12% | 7.25% |
June 30, 2025 calculation
Operating ROA = Operating income ÷ Total assets
= $58,200K ÷ $1,993,800K
= 2.92%
The operating return on assets (ROA) of Viavi Solutions Inc. demonstrates notable fluctuations over the analyzed period from June 30, 2021, to June 30, 2025. As of June 30, 2021, the operating ROA stood at 7.25%, indicating a moderate level of efficiency in generating operating income relative to the company's total assets. This performance improved significantly by June 30, 2022, reaching 10.12%, which suggests enhanced operational efficiency and effective utilization of assets during that year.
However, the subsequent year saw a decline in operating ROA to 4.45% as of June 30, 2023. This decrease reflects a reduction in the company's ability to generate operating income from its assets, potentially due to rising costs, competitive pressures, or changes in operational leverage. The downward trend continued markedly into June 30, 2024, with the operating ROA decreasing to 1.20%, signaling a substantial reduction in operational efficiency and possibly heightened operational challenges or asset underutilization.
By June 30, 2025, the operating ROA showed some improvement, rising to 2.92%. Although this represents a recovery from the previous year's low, it remains below the levels observed in 2021 and 2022, indicating that the company is still working toward restoring its operational efficiency.
Overall, the trajectory of Viavi Solutions Inc.'s operating ROA suggests an initial period of improvement followed by a significant decline, and then a modest recovery. The pattern underscores the importance of operational management and strategic initiatives aimed at enhancing asset utilization and profitability.
Peer comparison
Jun 30, 2025