Viavi Solutions Inc (VIAV)

Operating return on assets (Operating ROA)

		Jun 30, 2024	Jun 30, 2023	Jun 30, 2022	Jun 30, 2021	Jun 30, 2020
Operating income	US$ in thousands	20,800	82,400	185,000	142,200	118,100
Total assets	US$ in thousands	1,736,300	1,850,500	1,827,900	1,961,400	1,776,300
Operating ROA		1.20%	4.45%	10.12%	7.25%	6.65%

June 30, 2024 calculation

Operating ROA = Operating income ÷ Total assets
= $20,800K ÷ $1,736,300K
= 1.20%

Viavi Solutions Inc's operating return on assets (operating ROA) has shown a decreasing trend over the past five years. In 2020, the operating ROA was 6.65%, which then increased to 7.25% in 2021. However, there was a significant decline in 2022 with an operating ROA of 10.12%, followed by a further decrease to 4.45% in 2023. The latest data for June 30, 2024, indicates an operating ROA of 1.20%.

This downward trend in operating ROA suggests that Viavi Solutions Inc's ability to generate operating income from its assets has weakened over the years. It is important for the company to closely evaluate its operational efficiency and asset utilization to improve its profitability in the future.