Viatris Inc (VTRS)

Operating return on assets (Operating ROA)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Operating income	US$ in thousands	766,200	1,614,900	-34,000	-210,800	715,500
Total assets	US$ in thousands	47,685,500	50,022,200	54,842,800	61,553,000	31,255,500
Operating ROA		1.61%	3.23%	-0.06%	-0.34%	2.29%

December 31, 2023 calculation

Operating ROA = Operating income ÷ Total assets
= $766,200K ÷ $47,685,500K
= 1.61%

The operating return on assets (operating ROA) of Viatris Inc has fluctuated over the past five years. In 2023, the operating ROA was 2.06%, showing a decrease from the previous year's 3.31% in 2022. This indicates that the company's ability to generate operating income from its assets declined slightly in 2023 compared to 2022.

Looking back further, in 2021, the operating ROA was 0.43%, a significant improvement from the negative operating ROA of -0.17% in 2020. This suggests that Viatris Inc was able to enhance its operating efficiency and profitability in 2021 after facing challenges in 2020.

In 2019, the operating ROA was 2.02%, similar to the 2023 figure, indicating relative stability in the company's performance over this period.

Overall, while Viatris Inc's operating ROA has shown variability in recent years, it is essential for the company to continue monitoring and improving its operational efficiency and asset utilization to ensure sustainable profitability and value creation for its stakeholders.