Analysis of Profitability Ratios
Quarterly Data
Profitability ratios measure the company ability to generate profitable sales from its resources (assets).
Profitability Ratios (Summary)
Lumentum Holdings Inc., profitability ratios (quarterly data)
Based on: 10-Q (reporting date: 2026-03-28), 10-Q (reporting date: 2025-12-27), 10-Q (reporting date: 2025-09-27), 10-K (reporting date: 2025-06-28), 10-Q (reporting date: 2025-03-29), 10-Q (reporting date: 2024-12-28), 10-Q (reporting date: 2024-09-28), 10-K (reporting date: 2024-06-29), 10-Q (reporting date: 2024-03-30), 10-Q (reporting date: 2023-12-30), 10-Q (reporting date: 2023-09-30), 10-K (reporting date: 2023-07-01), 10-Q (reporting date: 2023-04-01), 10-Q (reporting date: 2022-12-31), 10-Q (reporting date: 2022-10-01), 10-K (reporting date: 2022-07-02), 10-Q (reporting date: 2022-04-02), 10-Q (reporting date: 2022-01-01), 10-Q (reporting date: 2021-10-02), 10-K (reporting date: 2021-07-03), 10-Q (reporting date: 2021-04-03), 10-Q (reporting date: 2020-12-26), 10-Q (reporting date: 2020-09-26).
The financial performance exhibits a cyclical trajectory characterized by an initial period of expansion, a severe contraction phase beginning in late 2021, and a recovery trend emerging in 2024 and 2025.
- Margin Performance
- Gross profit margins experienced an upward trend from 40.94% in September 2020 to a peak of 46.56% in October 2021. A significant downward trend followed, with margins contracting to a low of 18.33% by September 2024. Since that trough, a consistent recovery has been observed, returning to 37.71% by March 2026.
- Operating and net profit margins showed higher volatility and deeper declines than the gross margin. Operating margins peaked at 31.28% in October 2021 before falling into negative territory in April 2023 and reaching a nadir of -31.93% in June 2024. Net profit margins followed a similar path, peaking at 23.68% in October 2021 and bottoming at -40.70% in September 2024. Both metrics returned to positive values by late 2024 and early 2025, with the net profit margin reaching 17.68% by March 2026.
- Returns on Investment
- Return on Equity (ROE) demonstrated extreme fluctuations, rising from 8.53% in September 2020 to 20.88% in October 2021. The subsequent decline was severe, with ROE dropping to -62.62% in September 2024, indicating significant losses relative to shareholder equity. A sharp rebound occurred in 2025, peaking at 29.72% in December 2025 before moderating to 14.79% in March 2026.
- Return on Assets (ROA) mirrored the general trend of the other profitability ratios but with less volatility than ROE. ROA peaked at 11.70% in October 2021, declined to a low of -14.13% in September 2024, and recovered to 6.26% by March 2026.
Overall, the data indicates a period of significant financial distress between 2023 and 2024, where negative operating and net margins coincided with deeply negative returns on equity and assets. The subsequent trend shows a comprehensive recovery across all measured profitability indicators.
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Return on Sales
Return on Investment
Gross Profit Margin
Lumentum Holdings Inc., gross profit margin calculation (quarterly data)
| Mar 28, 2026 | Dec 27, 2025 | Sep 27, 2025 | Jun 28, 2025 | Mar 29, 2025 | Dec 28, 2024 | Sep 28, 2024 | Jun 29, 2024 | Mar 30, 2024 | Dec 30, 2023 | Sep 30, 2023 | Jul 1, 2023 | Apr 1, 2023 | Dec 31, 2022 | Oct 1, 2022 | Jul 2, 2022 | Apr 2, 2022 | Jan 1, 2022 | Oct 2, 2021 | Jul 3, 2021 | Apr 3, 2021 | Dec 26, 2020 | Sep 26, 2020 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||||||||||||||||||||||||||
| Gross profit | 357,000) | 240,100) | 181,500) | 159,900) | 122,500) | 99,600) | 77,900) | 51,300) | 59,500) | 64,000) | 76,700) | 89,600) | 112,000) | 166,200) | 201,200) | 181,700) | 167,200) | 207,500) | 232,200) | 162,800) | 185,000) | 229,600) | 205,700) | |||||||
| Net revenue | 808,400) | 665,500) | 533,800) | 480,700) | 425,200) | 402,200) | 336,900) | 308,300) | 366,500) | 366,800) | 317,600) | 370,800) | 383,400) | 506,000) | 506,800) | 422,100) | 395,400) | 446,700) | 448,400) | 392,100) | 419,500) | 478,800) | 452,400) | |||||||
| Profitability Ratio | ||||||||||||||||||||||||||||||
| Gross profit margin1 | 37.71% | 33.44% | 30.59% | 27.96% | 23.86% | 20.39% | 18.33% | 18.50% | 20.38% | 23.79% | 28.17% | 32.20% | 36.36% | 39.14% | 42.78% | 46.05% | 45.74% | 46.14% | 46.56% | 44.93% | 43.98% | 42.81% | 40.94% | |||||||
| Benchmarks | ||||||||||||||||||||||||||||||
| Gross Profit Margin, Competitors2 | ||||||||||||||||||||||||||||||
| Apple Inc. | — | 47.86% | 47.33% | 46.91% | 46.68% | 46.63% | 46.52% | 46.21% | 45.96% | 45.59% | 45.03% | 44.13% | 43.45% | 43.18% | 43.06% | 43.31% | 43.31% | 43.32% | 43.02% | 41.78% | 41.01% | 39.88% | 38.78% | |||||||
| Arista Networks Inc. | — | — | 63.54% | 64.06% | 64.34% | 64.24% | 64.09% | 64.13% | 64.41% | 64.01% | 62.94% | 61.95% | 60.76% | 60.18% | 60.27% | 61.07% | 61.82% | 62.77% | 63.64% | — | — | — | — | |||||||
| Cisco Systems Inc. | 64.33% | 64.81% | 64.85% | 64.94% | 65.24% | 65.13% | 64.92% | 64.73% | 64.65% | 64.22% | 63.69% | 62.73% | 61.99% | 61.92% | 62.23% | 62.55% | 63.14% | 63.30% | 63.73% | 64.02% | 63.94% | 64.17% | 64.07% | |||||||
| Dell Technologies Inc. | 20.80% | 21.12% | 22.06% | 22.24% | 22.23% | 22.51% | 23.07% | 23.60% | 23.38% | 23.36% | 22.57% | 22.18% | 21.42% | 20.92% | 21.40% | 21.63% | 24.59% | 27.13% | 29.32% | — | — | — | — | |||||||
| Super Micro Computer Inc. | 8.39% | 8.02% | 10.08% | 11.06% | 11.27% | 12.44% | 13.20% | 13.75% | 15.97% | 16.39% | 17.44% | 18.01% | 18.23% | 17.80% | 16.78% | 15.40% | 14.22% | 13.68% | 14.18% | 15.03% | 15.14% | 16.03% | 15.91% | |||||||
Based on: 10-Q (reporting date: 2026-03-28), 10-Q (reporting date: 2025-12-27), 10-Q (reporting date: 2025-09-27), 10-K (reporting date: 2025-06-28), 10-Q (reporting date: 2025-03-29), 10-Q (reporting date: 2024-12-28), 10-Q (reporting date: 2024-09-28), 10-K (reporting date: 2024-06-29), 10-Q (reporting date: 2024-03-30), 10-Q (reporting date: 2023-12-30), 10-Q (reporting date: 2023-09-30), 10-K (reporting date: 2023-07-01), 10-Q (reporting date: 2023-04-01), 10-Q (reporting date: 2022-12-31), 10-Q (reporting date: 2022-10-01), 10-K (reporting date: 2022-07-02), 10-Q (reporting date: 2022-04-02), 10-Q (reporting date: 2022-01-01), 10-Q (reporting date: 2021-10-02), 10-K (reporting date: 2021-07-03), 10-Q (reporting date: 2021-04-03), 10-Q (reporting date: 2020-12-26), 10-Q (reporting date: 2020-09-26).
1 Q3 2026 Calculation
Gross profit margin = 100
× (Gross profitQ3 2026
+ Gross profitQ2 2026
+ Gross profitQ1 2026
+ Gross profitQ4 2025)
÷ (Net revenueQ3 2026
+ Net revenueQ2 2026
+ Net revenueQ1 2026
+ Net revenueQ4 2025)
= 100 × (357,000 + 240,100 + 181,500 + 159,900)
÷ (808,400 + 665,500 + 533,800 + 480,700)
= 37.71%
2 Click competitor name to see calculations.
The gross profit margin exhibits a distinct cyclical pattern characterized by an initial period of expansion, a prolonged and severe contraction, and a subsequent recovery phase. The overall trajectory reveals significant volatility in profitability, with margins fluctuating from a peak of 46.56% to a low of 18.33% before trending upward again.
- Initial Margin Expansion and Stability
- Between September 2020 and October 2021, a steady upward trend in the gross profit margin is observed, rising from 40.94% to a peak of 46.56%. During this interval, the company maintained strong pricing power or cost efficiencies, with margins remaining consistently above 45% through the first half of 2022.
- Period of Severe Profitability Contraction
- Starting in late 2022, a precipitous decline in the gross profit margin is evident. The margin fell from 39.14% in December 2022 to a trough of 18.33% by September 2024. This decline coincided with a significant reduction in both net revenue and gross profit, suggesting a period of substantial operational challenges or market downturns that severely eroded profitability.
- Recovery and Rebound Phase
- Following the September 2024 low, the gross profit margin entered a consistent recovery phase. The margin improved steadily from 18.33% to 37.71% by March 2026. This recovery is mirrored by a robust increase in net revenue, which climbed from 336,900 thousand dollars in June 2024 to 808,400 thousand dollars by March 2026, indicating a restoration of scale and improved cost management.
- Revenue and Profit Correlation
- A strong positive correlation exists between net revenue levels and gross profit margins. The periods of lowest margins occurred during the lowest revenue quarters, while the most recent surge in revenue has been accompanied by a corresponding expansion in the gross profit margin, reflecting an improved efficiency in converting sales into gross profit.
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Operating Profit Margin
Lumentum Holdings Inc., operating profit margin calculation (quarterly data)
| Mar 28, 2026 | Dec 27, 2025 | Sep 27, 2025 | Jun 28, 2025 | Mar 29, 2025 | Dec 28, 2024 | Sep 28, 2024 | Jun 29, 2024 | Mar 30, 2024 | Dec 30, 2023 | Sep 30, 2023 | Jul 1, 2023 | Apr 1, 2023 | Dec 31, 2022 | Oct 1, 2022 | Jul 2, 2022 | Apr 2, 2022 | Jan 1, 2022 | Oct 2, 2021 | Jul 3, 2021 | Apr 3, 2021 | Dec 26, 2020 | Sep 26, 2020 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||||||||||||||||||||||||||
| Income (loss) from operations | 174,500) | 64,300) | 6,700) | (8,400) | (37,700) | (51,600) | (82,400) | (133,400) | (114,600) | (105,200) | (80,800) | (55,900) | (51,400) | (21,900) | 13,500) | 55,400) | 46,800) | 85,200) | 115,900) | 45,800) | 266,900) | 115,300) | 99,000) | |||||||
| Net revenue | 808,400) | 665,500) | 533,800) | 480,700) | 425,200) | 402,200) | 336,900) | 308,300) | 366,500) | 366,800) | 317,600) | 370,800) | 383,400) | 506,000) | 506,800) | 422,100) | 395,400) | 446,700) | 448,400) | 392,100) | 419,500) | 478,800) | 452,400) | |||||||
| Profitability Ratio | ||||||||||||||||||||||||||||||
| Operating profit margin1 | 9.53% | 1.18% | -4.94% | -10.95% | -20.72% | -27.02% | -31.60% | -31.93% | -25.08% | -20.39% | -13.31% | -6.55% | -0.24% | 5.12% | 11.34% | 17.71% | 17.46% | 30.10% | 31.28% | 30.24% | 29.57% | 16.67% | 14.47% | |||||||
| Benchmarks | ||||||||||||||||||||||||||||||
| Operating Profit Margin, Competitors2 | ||||||||||||||||||||||||||||||
| Apple Inc. | — | 32.64% | 32.38% | 31.97% | 31.87% | 31.81% | 31.76% | 31.51% | 31.27% | 30.98% | 30.76% | 29.82% | 29.23% | 29.16% | 29.41% | 30.29% | 30.53% | 30.93% | 30.90% | 29.78% | 28.79% | 27.32% | 25.24% | |||||||
| Arista Networks Inc. | — | — | 42.79% | 42.82% | 42.88% | 43.14% | 42.27% | 42.05% | 42.11% | 41.23% | 40.01% | 38.52% | 37.29% | 36.12% | 35.71% | 34.86% | 33.69% | 32.55% | 31.56% | — | — | — | — | |||||||
| Cisco Systems Inc. | 23.36% | 22.75% | 22.12% | 20.76% | 20.30% | 18.98% | 19.37% | 22.64% | 24.95% | 27.21% | 27.17% | 26.37% | 25.89% | 26.10% | 26.91% | 27.09% | 27.36% | 27.09% | 26.98% | 25.76% | 25.60% | 25.93% | 26.23% | |||||||
| Dell Technologies Inc. | 6.93% | 6.72% | 6.66% | 6.53% | 5.93% | 5.81% | 5.69% | 5.89% | 5.39% | 5.54% | 5.45% | 5.64% | 5.88% | 5.12% | 4.99% | 4.60% | 5.26% | 5.51% | 5.72% | — | — | — | — | |||||||
| Super Micro Computer Inc. | 4.48% | 3.68% | 4.40% | 5.70% | 6.09% | 7.42% | 8.23% | 8.08% | 9.72% | 9.40% | 9.65% | 10.68% | 10.64% | 10.39% | 8.75% | 6.45% | 4.52% | 3.27% | 3.20% | 3.48% | 2.79% | 2.85% | 2.52% | |||||||
Based on: 10-Q (reporting date: 2026-03-28), 10-Q (reporting date: 2025-12-27), 10-Q (reporting date: 2025-09-27), 10-K (reporting date: 2025-06-28), 10-Q (reporting date: 2025-03-29), 10-Q (reporting date: 2024-12-28), 10-Q (reporting date: 2024-09-28), 10-K (reporting date: 2024-06-29), 10-Q (reporting date: 2024-03-30), 10-Q (reporting date: 2023-12-30), 10-Q (reporting date: 2023-09-30), 10-K (reporting date: 2023-07-01), 10-Q (reporting date: 2023-04-01), 10-Q (reporting date: 2022-12-31), 10-Q (reporting date: 2022-10-01), 10-K (reporting date: 2022-07-02), 10-Q (reporting date: 2022-04-02), 10-Q (reporting date: 2022-01-01), 10-Q (reporting date: 2021-10-02), 10-K (reporting date: 2021-07-03), 10-Q (reporting date: 2021-04-03), 10-Q (reporting date: 2020-12-26), 10-Q (reporting date: 2020-09-26).
1 Q3 2026 Calculation
Operating profit margin = 100
× (Income (loss) from operationsQ3 2026
+ Income (loss) from operationsQ2 2026
+ Income (loss) from operationsQ1 2026
+ Income (loss) from operationsQ4 2025)
÷ (Net revenueQ3 2026
+ Net revenueQ2 2026
+ Net revenueQ1 2026
+ Net revenueQ4 2025)
= 100 × (174,500 + 64,300 + 6,700 + -8,400)
÷ (808,400 + 665,500 + 533,800 + 480,700)
= 9.53%
2 Click competitor name to see calculations.
The operating profit margin exhibits a cyclical trajectory characterized by an initial period of expansion, a prolonged contraction into negative territory, and a subsequent recovery trend toward profitability.
- Expansion and Peak Performance (September 2020 – October 2021)
- A strong upward trend is observed during this period, with the operating profit margin rising from 14.47% in September 2020 to a peak of 31.28% in October 2021. This phase represents the highest level of operational efficiency within the analyzed timeframe, coinciding with operating incomes reaching as high as 266.9 million US dollars in April 2021.
- Operational Contraction (January 2022 – March 2023)
- A significant deterioration in profitability began in early 2022. The margin declined from 30.10% in January 2022 to 5.12% by December 2022. This downward trend culminated in the first instance of negative operating margins in April 2023, where the ratio fell to -0.24%, signaling that operating expenses had begun to exceed operating income.
- Period of Maximum Drawdown (July 2023 – June 2024)
- The most severe contraction occurred between mid-2023 and mid-2024. Operating profit margins reached their lowest point of -31.93% in June 2024. During this interval, operating losses deepened, reaching a maximum quarterly loss of 133.4 million US dollars in June 2024, despite net revenues remaining relatively stable between 308 million and 366 million US dollars.
- Recovery and Return to Profitability (September 2024 – March 2026)
- A consistent recovery is evident starting in the second half of 2024. The margin improved from -31.60% in September 2024 to 1.18% by December 2025, marking a return to positive operational profitability. This recovery is supported by a substantial increase in net revenue, which grew from 336.9 million US dollars in June 2024 to 808.4 million US dollars by March 2026, resulting in an operating profit margin of 9.53% at the end of the period.
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Net Profit Margin
Lumentum Holdings Inc., net profit margin calculation (quarterly data)
| Mar 28, 2026 | Dec 27, 2025 | Sep 27, 2025 | Jun 28, 2025 | Mar 29, 2025 | Dec 28, 2024 | Sep 28, 2024 | Jun 29, 2024 | Mar 30, 2024 | Dec 30, 2023 | Sep 30, 2023 | Jul 1, 2023 | Apr 1, 2023 | Dec 31, 2022 | Oct 1, 2022 | Jul 2, 2022 | Apr 2, 2022 | Jan 1, 2022 | Oct 2, 2021 | Jul 3, 2021 | Apr 3, 2021 | Dec 26, 2020 | Sep 26, 2020 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||||||||||||||||||||||||||
| Net income (loss) | 144,200) | 78,200) | 4,200) | 213,300) | (44,100) | (60,900) | (82,400) | (252,500) | (127,000) | (99,100) | (67,900) | (60,200) | (39,300) | (31,700) | (400) | 34,700) | 26,000) | 56,700) | 81,500) | 21,500) | 225,500) | 83,200) | 67,100) | |||||||
| Net revenue | 808,400) | 665,500) | 533,800) | 480,700) | 425,200) | 402,200) | 336,900) | 308,300) | 366,500) | 366,800) | 317,600) | 370,800) | 383,400) | 506,000) | 506,800) | 422,100) | 395,400) | 446,700) | 448,400) | 392,100) | 419,500) | 478,800) | 452,400) | |||||||
| Profitability Ratio | ||||||||||||||||||||||||||||||
| Net profit margin1 | 17.68% | 11.95% | 6.11% | 1.57% | -29.87% | -36.98% | -40.70% | -40.21% | -24.91% | -18.52% | -12.62% | -7.45% | -2.02% | 1.56% | 6.61% | 11.61% | 11.04% | 22.57% | 23.68% | 22.80% | 21.60% | 11.11% | 9.22% | |||||||
| Benchmarks | ||||||||||||||||||||||||||||||
| Net Profit Margin, Competitors2 | ||||||||||||||||||||||||||||||
| Apple Inc. | — | 27.15% | 27.04% | 26.92% | 24.30% | 24.30% | 24.30% | 23.97% | 26.44% | 26.31% | 26.16% | 25.31% | 24.68% | 24.49% | 24.56% | 25.31% | 25.71% | 26.41% | 26.58% | 25.88% | 25.00% | 23.45% | 21.73% | |||||||
| Arista Networks Inc. | — | — | 38.32% | 38.99% | 39.73% | 40.89% | 40.72% | 40.73% | 40.29% | 39.01% | 37.64% | 35.62% | 33.97% | 32.48% | 31.24% | 30.87% | 29.63% | 29.55% | 29.54% | — | — | — | — | |||||||
| Cisco Systems Inc. | 19.69% | 18.76% | 17.90% | 17.97% | 17.60% | 16.96% | 17.73% | 19.18% | 21.88% | 23.49% | 23.40% | 22.13% | 20.89% | 21.26% | 22.00% | 22.91% | 23.28% | 22.94% | 22.44% | 21.26% | 20.92% | 21.09% | 21.76% | |||||||
| Dell Technologies Inc. | 5.01% | 4.77% | 4.72% | 4.81% | 4.49% | 4.41% | 4.04% | 3.63% | 2.92% | 2.03% | 2.01% | 2.39% | 1.74% | 5.07% | 5.49% | 5.50% | 6.83% | 3.92% | 4.21% | — | — | — | — | |||||||
| Super Micro Computer Inc. | 3.70% | 3.11% | 3.77% | 4.77% | 5.34% | 6.94% | 7.55% | 7.69% | 8.88% | 7.92% | 8.29% | 8.98% | 8.93% | 8.70% | 7.38% | 5.49% | 3.96% | 3.00% | 2.89% | 3.14% | 2.69% | 2.71% | 2.56% | |||||||
Based on: 10-Q (reporting date: 2026-03-28), 10-Q (reporting date: 2025-12-27), 10-Q (reporting date: 2025-09-27), 10-K (reporting date: 2025-06-28), 10-Q (reporting date: 2025-03-29), 10-Q (reporting date: 2024-12-28), 10-Q (reporting date: 2024-09-28), 10-K (reporting date: 2024-06-29), 10-Q (reporting date: 2024-03-30), 10-Q (reporting date: 2023-12-30), 10-Q (reporting date: 2023-09-30), 10-K (reporting date: 2023-07-01), 10-Q (reporting date: 2023-04-01), 10-Q (reporting date: 2022-12-31), 10-Q (reporting date: 2022-10-01), 10-K (reporting date: 2022-07-02), 10-Q (reporting date: 2022-04-02), 10-Q (reporting date: 2022-01-01), 10-Q (reporting date: 2021-10-02), 10-K (reporting date: 2021-07-03), 10-Q (reporting date: 2021-04-03), 10-Q (reporting date: 2020-12-26), 10-Q (reporting date: 2020-09-26).
1 Q3 2026 Calculation
Net profit margin = 100
× (Net income (loss)Q3 2026
+ Net income (loss)Q2 2026
+ Net income (loss)Q1 2026
+ Net income (loss)Q4 2025)
÷ (Net revenueQ3 2026
+ Net revenueQ2 2026
+ Net revenueQ1 2026
+ Net revenueQ4 2025)
= 100 × (144,200 + 78,200 + 4,200 + 213,300)
÷ (808,400 + 665,500 + 533,800 + 480,700)
= 17.68%
2 Click competitor name to see calculations.
The financial performance over the analyzed period is characterized by a volatile cycle of profitability, transitioning from a period of significant margin expansion into a deep trough of net losses, followed by a robust recovery toward the end of the timeline.
- Phase of Margin Expansion (September 2020 – January 2022)
- A strong upward trend in profitability is observed during this interval. The net profit margin increased from 9.22% in September 2020 to a peak of 23.68% in October 2021. This period was marked by consistent net income growth, indicating a high level of operational efficiency and strong revenue conversion.
- Period of Contraction and Net Loss (April 2022 – March 2024)
- A sharp deterioration in profitability began in April 2022, with the net profit margin falling from 11.04% to 1.56% by December 2022. The trajectory shifted into negative territory in April 2023, signaling the onset of net losses. This downward trend accelerated through 2024, reaching a nadir of -40.70% in September 2024. The most severe losses occurred mid-2024, with net income reaching a low of negative $252.5 million in June 2024.
- Recovery and Revenue Scaling (December 2024 – March 2026)
- A sustained recovery is evident starting in the final quarter of 2024. Net profit margins steadily improved from -36.98% in December 2024 to a return to profitability in June 2025 at 1.57%. This positive momentum continued through March 2026, where the margin reached 17.68%. This recovery is closely aligned with a significant expansion in net revenue, which grew from $402.2 million in September 2024 to $808.4 million by March 2026, suggesting that increased scale contributed to the restoration of profit margins.
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Return on Equity (ROE)
Lumentum Holdings Inc., ROE calculation (quarterly data)
| Mar 28, 2026 | Dec 27, 2025 | Sep 27, 2025 | Jun 28, 2025 | Mar 29, 2025 | Dec 28, 2024 | Sep 28, 2024 | Jun 29, 2024 | Mar 30, 2024 | Dec 30, 2023 | Sep 30, 2023 | Jul 1, 2023 | Apr 1, 2023 | Dec 31, 2022 | Oct 1, 2022 | Jul 2, 2022 | Apr 2, 2022 | Jan 1, 2022 | Oct 2, 2021 | Jul 3, 2021 | Apr 3, 2021 | Dec 26, 2020 | Sep 26, 2020 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||||||||||||||||||||||||||
| Net income (loss) | 144,200) | 78,200) | 4,200) | 213,300) | (44,100) | (60,900) | (82,400) | (252,500) | (127,000) | (99,100) | (67,900) | (60,200) | (39,300) | (31,700) | (400) | 34,700) | 26,000) | 56,700) | 81,500) | 21,500) | 225,500) | 83,200) | 67,100) | |||||||
| Stockholders’ equity | 2,973,400) | 846,600) | 780,800) | 1,134,700) | 879,500) | 872,300) | 895,900) | 957,300) | 1,176,700) | 1,277,800) | 1,310,800) | 1,355,800) | 1,538,000) | 1,543,600) | 1,526,400) | 1,875,000) | 1,912,100) | 2,021,900) | 1,971,400) | 1,972,800) | 2,165,000) | 1,921,900) | 1,816,100) | |||||||
| Profitability Ratio | ||||||||||||||||||||||||||||||
| ROE1 | 14.79% | 29.72% | 14.41% | 2.28% | -50.02% | -59.93% | -62.62% | -57.09% | -30.10% | -20.86% | -15.19% | -9.71% | -2.39% | 1.85% | 7.67% | 10.61% | 9.71% | 19.05% | 20.88% | 20.14% | 17.15% | 9.84% | 8.53% | |||||||
| Benchmarks | ||||||||||||||||||||||||||||||
| ROE, Competitors2 | ||||||||||||||||||||||||||||||
| Apple Inc. | — | 115.10% | 133.55% | 151.91% | 150.81% | 145.66% | 144.03% | 164.59% | 152.84% | 135.31% | 136.18% | 156.08% | 157.22% | 151.74% | 167.77% | 196.96% | 171.46% | 151.24% | 139.79% | 150.07% | 135.04% | 110.31% | 96.54% | |||||||
| Arista Networks Inc. | — | — | 27.59% | 28.39% | 28.19% | 29.83% | 29.93% | 28.54% | 28.82% | 29.20% | 29.11% | 28.91% | 29.22% | 29.18% | 28.46% | 27.68% | 26.56% | 25.84% | 22.46% | — | — | — | — | |||||||
| Cisco Systems Inc. | 24.47% | 23.21% | 22.04% | 21.73% | 21.32% | 20.18% | 20.75% | 22.70% | 26.47% | 29.06% | 30.04% | 28.44% | 27.12% | 27.25% | 28.56% | 29.70% | 29.72% | 29.94% | 26.69% | 25.66% | 25.41% | 25.89% | 27.42% | |||||||
| Dell Technologies Inc. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | 75.81% | 78.28% | 114.54% | — | — | — | — | |||||||
| Super Micro Computer Inc. | 16.47% | 12.48% | 12.15% | 16.64% | 18.04% | 23.16% | 24.16% | 21.28% | 20.59% | 23.80% | 28.29% | 32.45% | 33.21% | 31.80% | 27.33% | 20.00% | 14.41% | 10.53% | 9.77% | 10.20% | 8.65% | 8.32% | 7.88% | |||||||
Based on: 10-Q (reporting date: 2026-03-28), 10-Q (reporting date: 2025-12-27), 10-Q (reporting date: 2025-09-27), 10-K (reporting date: 2025-06-28), 10-Q (reporting date: 2025-03-29), 10-Q (reporting date: 2024-12-28), 10-Q (reporting date: 2024-09-28), 10-K (reporting date: 2024-06-29), 10-Q (reporting date: 2024-03-30), 10-Q (reporting date: 2023-12-30), 10-Q (reporting date: 2023-09-30), 10-K (reporting date: 2023-07-01), 10-Q (reporting date: 2023-04-01), 10-Q (reporting date: 2022-12-31), 10-Q (reporting date: 2022-10-01), 10-K (reporting date: 2022-07-02), 10-Q (reporting date: 2022-04-02), 10-Q (reporting date: 2022-01-01), 10-Q (reporting date: 2021-10-02), 10-K (reporting date: 2021-07-03), 10-Q (reporting date: 2021-04-03), 10-Q (reporting date: 2020-12-26), 10-Q (reporting date: 2020-09-26).
1 Q3 2026 Calculation
ROE = 100
× (Net income (loss)Q3 2026
+ Net income (loss)Q2 2026
+ Net income (loss)Q1 2026
+ Net income (loss)Q4 2025)
÷ Stockholders’ equity
= 100 × (144,200 + 78,200 + 4,200 + 213,300)
÷ 2,973,400 = 14.79%
2 Click competitor name to see calculations.
The Return on Equity (ROE) for the period analyzed exhibits a volatile cyclical pattern, transitioning from a phase of strong growth to a period of significant contraction, followed by a recovery in the final quarters.
- Profitability and Net Income Trends
- A period of positive profitability is observed from September 2020 through July 2022, with net income peaking at 225.5 million USD in April 2021. This was followed by a sustained downturn beginning in October 2022, where net income turned negative. Losses intensified throughout 2023 and 2024, reaching a maximum deficit of 252.5 million USD in June 2024. A trend reversal occurred in June 2025, with a return to profitability that continued through March 2026, ending at a net income of 144.2 million USD.
- Stockholders' Equity Fluctuations
- Equity remained relatively stable between 1.8 billion USD and 2.1 billion USD during the initial growth phase. However, a consistent erosion of equity was observed starting in late 2022, correlating with the onset of net losses. Equity reached a trough of 872.3 million USD in December 2024. A substantial increase in stockholders' equity is noted in the final quarter of the analysis, jumping to 2.97 billion USD by March 2026.
- Return on Equity (ROE) Analysis
- The ROE trajectory mirrored net income performance, ascending from 8.53% in September 2020 to a peak of 20.88% in October 2021. The subsequent decline was severe, with the ratio turning negative in April 2023 and accelerating downward to a low of -62.62% in September 2024. This decline indicates a period where losses significantly depleted the equity base. The recovery phase began in June 2025, with ROE returning to positive territory at 2.28% and climbing to 29.72% by December 2025, before settling at 14.79% in March 2026.
Overall, the data indicates a period of extreme financial instability between 2022 and 2024, characterized by deep negative returns on equity and a shrinking capital base, which was ultimately offset by a strong recovery in profitability and a significant expansion of stockholders' equity by the first quarter of 2026.
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Return on Assets (ROA)
Lumentum Holdings Inc., ROA calculation (quarterly data)
| Mar 28, 2026 | Dec 27, 2025 | Sep 27, 2025 | Jun 28, 2025 | Mar 29, 2025 | Dec 28, 2024 | Sep 28, 2024 | Jun 29, 2024 | Mar 30, 2024 | Dec 30, 2023 | Sep 30, 2023 | Jul 1, 2023 | Apr 1, 2023 | Dec 31, 2022 | Oct 1, 2022 | Jul 2, 2022 | Apr 2, 2022 | Jan 1, 2022 | Oct 2, 2021 | Jul 3, 2021 | Apr 3, 2021 | Dec 26, 2020 | Sep 26, 2020 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||||||||||||||||||||||||||
| Net income (loss) | 144,200) | 78,200) | 4,200) | 213,300) | (44,100) | (60,900) | (82,400) | (252,500) | (127,000) | (99,100) | (67,900) | (60,200) | (39,300) | (31,700) | (400) | 34,700) | 26,000) | 56,700) | 81,500) | 21,500) | 225,500) | 83,200) | 67,100) | |||||||
| Total assets | 7,027,900) | 4,805,300) | 4,613,100) | 4,218,700) | 3,975,000) | 3,966,100) | 3,969,600) | 3,931,900) | 4,204,500) | 4,656,000) | 4,545,000) | 4,632,100) | 4,354,000) | 4,418,100) | 4,387,400) | 4,162,200) | 4,133,500) | 3,615,700) | 3,519,000) | 3,551,600) | 3,745,900) | 3,468,200) | 3,387,400) | |||||||
| Profitability Ratio | ||||||||||||||||||||||||||||||
| ROA1 | 6.26% | 5.24% | 2.44% | 0.61% | -11.07% | -13.18% | -14.13% | -13.90% | -8.42% | -5.72% | -4.38% | -2.84% | -0.84% | 0.65% | 2.67% | 4.78% | 4.49% | 10.65% | 11.70% | 11.19% | 9.91% | 5.45% | 4.58% | |||||||
| Benchmarks | ||||||||||||||||||||||||||||||
| ROA, Competitors2 | ||||||||||||||||||||||||||||||
| Apple Inc. | — | 33.03% | 31.05% | 31.18% | 29.95% | 29.37% | 27.94% | 25.68% | 30.75% | 29.75% | 28.55% | 27.51% | 28.28% | 28.40% | 27.45% | 28.29% | 29.63% | 29.07% | 26.38% | 26.97% | 26.32% | 22.63% | 18.06% | |||||||
| Arista Networks Inc. | — | — | 17.18% | 18.05% | 18.60% | 19.67% | 20.86% | 20.31% | 20.74% | 21.18% | 21.69% | 20.98% | 20.96% | 20.88% | 20.11% | 19.96% | 18.90% | 17.77% | 15.27% | — | — | — | — | |||||||
| Cisco Systems Inc. | 9.52% | 8.98% | 8.53% | 8.32% | 8.17% | 7.57% | 7.62% | 8.29% | 9.85% | 13.29% | 13.75% | 12.38% | 11.76% | 11.79% | 12.36% | 12.57% | 12.94% | 12.54% | 11.87% | 10.86% | 10.88% | 10.60% | 11.01% | |||||||
| Dell Technologies Inc. | 5.96% | 5.42% | 5.25% | 5.76% | 5.15% | 4.90% | 4.52% | 3.91% | 3.20% | 2.22% | 2.32% | 2.73% | 2.15% | 6.11% | 6.50% | 6.00% | 5.00% | 3.08% | 3.28% | — | — | — | — | |||||||
| Super Micro Computer Inc. | 5.32% | 3.12% | 5.51% | 7.48% | 10.72% | 14.85% | 13.09% | 11.73% | 11.84% | 13.55% | 14.96% | 17.42% | 18.39% | 18.81% | 13.45% | 8.90% | 5.98% | 4.67% | 4.56% | 4.99% | 4.56% | 4.67% | 4.65% | |||||||
Based on: 10-Q (reporting date: 2026-03-28), 10-Q (reporting date: 2025-12-27), 10-Q (reporting date: 2025-09-27), 10-K (reporting date: 2025-06-28), 10-Q (reporting date: 2025-03-29), 10-Q (reporting date: 2024-12-28), 10-Q (reporting date: 2024-09-28), 10-K (reporting date: 2024-06-29), 10-Q (reporting date: 2024-03-30), 10-Q (reporting date: 2023-12-30), 10-Q (reporting date: 2023-09-30), 10-K (reporting date: 2023-07-01), 10-Q (reporting date: 2023-04-01), 10-Q (reporting date: 2022-12-31), 10-Q (reporting date: 2022-10-01), 10-K (reporting date: 2022-07-02), 10-Q (reporting date: 2022-04-02), 10-Q (reporting date: 2022-01-01), 10-Q (reporting date: 2021-10-02), 10-K (reporting date: 2021-07-03), 10-Q (reporting date: 2021-04-03), 10-Q (reporting date: 2020-12-26), 10-Q (reporting date: 2020-09-26).
1 Q3 2026 Calculation
ROA = 100
× (Net income (loss)Q3 2026
+ Net income (loss)Q2 2026
+ Net income (loss)Q1 2026
+ Net income (loss)Q4 2025)
÷ Total assets
= 100 × (144,200 + 78,200 + 4,200 + 213,300)
÷ 7,027,900 = 6.26%
2 Click competitor name to see calculations.
The financial performance regarding asset utilization exhibits a distinct cyclical trajectory, transitioning from a period of high efficiency to a severe contraction and a subsequent recovery phase between September 2020 and March 2026.
- Return on Assets (ROA) Performance
- A period of significant expansion in asset efficiency was observed from September 2020 through October 2021, with ROA ascending from 4.58% to a peak of 11.70%. This growth was followed by a sharp decline beginning in January 2022, where returns plummeted through 2023 and entered negative territory. The ROA reached its lowest point in September 2024 at -14.13%, indicating a period where the asset base generated substantial net losses. A recovery trend emerged in December 2024, with ROA returning to positive territory by June 2025 and reaching 6.26% by March 2026.
- Net Income Volatility
- Profitability displayed extreme variance over the analyzed period. Initial quarterly net incomes peaked at 225.5 million USD in April 2021. A reversal occurred in October 2022, marking the start of a sustained period of losses. These losses intensified significantly in the first half of 2024, culminating in a peak quarterly loss of 252.5 million USD in June 2024. A turnaround is evident starting in June 2025, with net income returning to positive values and reaching 144.2 million USD by March 2026.
- Asset Base Evolution
- The total asset base grew steadily from 3.39 billion USD in September 2020 to 4.66 billion USD by July 2023. After a period of slight contraction and stabilization around 3.9 billion USD throughout 2024, a substantial increase in assets is observed in the final periods, culminating in a peak of 7.03 billion USD by March 2026. The correlation between asset growth and profitability was decoupled during the 2022-2024 downturn, as assets remained relatively high while net income turned negative, leading to the observed decline in ROA.
Overall, the analysis indicates a recovery of operational efficiency. The return to a positive ROA of 6.26% by March 2026, despite a significantly larger asset base of 7.03 billion USD, suggests a successful realignment of asset productivity following a prolonged period of financial instability.
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