Ziff Davis Inc (ZD)
Return on assets (ROA)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 41,503 | 63,757 | 496,714 | 150,668 | 218,806 |
| Total assets | US$ in thousands | 3,471,020 | 3,533,270 | 3,770,280 | 3,665,330 | 3,505,850 |
| ROA | 1.20% | 1.80% | 13.17% | 4.11% | 6.24% |
December 31, 2023 calculation
ROA = Net income ÷ Total assets
= $41,503K ÷ $3,471,020K
= 1.20%
Ziff Davis Inc's return on assets (ROA) has experienced fluctuations over the past five years. The ROA decreased from 6.14% in 2019 to 4.09% in 2020, marking a decline in profitability. However, in 2021, there was a significant improvement as the ROA surged to 13.17%, indicating a strong performance in generating profits relative to its total assets.
Subsequently, in 2022, the ROA decreased to 1.8%, reflecting a decline in profitability compared to the previous year. This declining trend continued in 2023, with ROA further decreasing to 1.2%.
Overall, the trend in Ziff Davis Inc's ROA indicates some level of inconsistency in the company's ability to generate profits from its assets effectively. It is essential for the company to assess the factors leading to these fluctuations to ensure sustainable and consistent profitability in the future.