Return on Assets (ROA)
since 2005
Calculation
Teradyne Inc., ROA, long-term trends, calculation
| ROA | = | 100 | × | Net income (loss)1 | ÷ | Total assets1 | |
|---|---|---|---|---|---|---|---|
| Dec 31, 2023 | 12.87% | = | 100 | × | 448,752) | ÷ | 3,486,824) |
| Dec 31, 2022 | 20.44% | = | 100 | × | 715,501) | ÷ | 3,501,252) |
| Dec 31, 2021 | 26.63% | = | 100 | × | 1,014,589) | ÷ | 3,809,425) |
| Dec 31, 2020 | 21.47% | = | 100 | × | 784,147) | ÷ | 3,652,346) |
| Dec 31, 2019 | 16.77% | = | 100 | × | 467,468) | ÷ | 2,787,014) |
| Dec 31, 2018 | 16.69% | = | 100 | × | 451,779) | ÷ | 2,706,606) |
| Dec 31, 2017 | 8.29% | = | 100 | × | 257,692) | ÷ | 3,109,545) |
| Dec 31, 2016 | -1.57% | = | 100 | × | (43,421) | ÷ | 2,762,493) |
| Dec 31, 2015 | 8.10% | = | 100 | × | 206,477) | ÷ | 2,548,674) |
| Dec 31, 2014 | 3.20% | = | 100 | × | 81,272) | ÷ | 2,538,520) |
| Dec 31, 2013 | 6.27% | = | 100 | × | 164,947) | ÷ | 2,629,824) |
| Dec 31, 2012 | 8.93% | = | 100 | × | 217,049) | ÷ | 2,429,345) |
| Dec 30, 2011 | 17.08% | = | 100 | × | 373,809) | ÷ | 2,188,639) |
| Dec 31, 2010 | 20.98% | = | 100 | × | 379,730) | ÷ | 1,810,355) |
| Dec 31, 2009 | -10.83% | = | 100 | × | (133,837) | ÷ | 1,235,337) |
| Dec 31, 2008 | -32.21% | = | 100 | × | (397,834) | ÷ | 1,235,247) |
| Dec 31, 2007 | 5.00% | = | 100 | × | 77,711) | ÷ | 1,555,288) |
| Dec 31, 2006 | 11.55% | = | 100 | × | 198,757) | ÷ | 1,721,055) |
| Dec 31, 2005 | 4.87% | = | 100 | × | 90,648) | ÷ | 1,859,732) |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-30), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
1 US$ in thousands
The return on assets (ROA) from 2005 to 2023 exhibits significant volatility, reflecting a cyclical pattern of profitability relative to the company's asset base. While total assets grew from approximately 1.86 billion USD in 2005 to 3.49 billion USD in 2023, the efficiency of these assets in generating net income fluctuated markedly over the nineteen-year period.
- Initial Volatility and Crisis Period (2005–2009)
- The period began with moderate performance, peaking at 11.55% in 2006 before a sharp decline. A significant contraction occurred in 2008, where ROA fell to -32.21% following a net loss of approximately 397.8 million USD. This negative trend persisted into 2009 with an ROA of -10.83%, indicating a period of severe underperformance relative to the asset base.
- Recovery and Mid-Term Fluctuations (2010–2016)
- A strong recovery was observed in 2010, with ROA surging to 20.98%. However, the subsequent six years were characterized by a general downward trajectory. ROA declined steadily from 17.08% in 2011 to 3.20% in 2014, followed by a brief recovery in 2015 and a return to negative territory in 2016, where it reached -1.57%.
- Expansion and Peak Efficiency (2017–2021)
- A sustained period of growth began in 2017, with ROA climbing consistently for five years. This trend culminated in a peak of 26.63% in 2021. This era represents the highest level of asset utilization efficiency in the recorded period, coinciding with net income reaching its maximum value of approximately 1.01 billion USD.
- Recent Normalization (2022–2023)
- Following the 2021 peak, a downward correction is observed. ROA decreased to 20.44% in 2022 and further to 12.87% in 2023. This decline is primarily driven by a reduction in net income, despite the total asset base remaining relatively stable at approximately 3.49 billion USD.
Overall, the long-term trend indicates that while the company has significantly expanded its asset base, its ability to generate profit from those assets remains sensitive to external or operational cycles, as evidenced by the recurring shifts between high positive returns and occasional losses.
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Comparison to Competitors
Teradyne Inc., ROA, long-term trends, comparison to competitors
| Teradyne Inc. | Advanced Micro Devices Inc. | Analog Devices Inc. | Applied Materials Inc. | Broadcom Inc. | Intel Corp. | KLA Corp. | Lam Research Corp. | Marvell Technology Inc. | Micron Technology Inc. | NVIDIA Corp. | Qualcomm Inc. | Texas Instruments Inc. | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Dec 31, 2023 | 12.87% | 1.26% | 6.79% | 22.31% | 19.33% | 0.88% | 24.07% | 24.02% | -0.73% | -9.08% | 10.61% | 14.17% | 20.12% |
| Dec 31, 2022 | 20.44% | 1.95% | 5.46% | 24.41% | 15.69% | 4.40% | 26.37% | 26.78% | -1.90% | 13.11% | 22.07% | 26.39% | 32.16% |
| Dec 31, 2021 | 26.63% | 25.46% | 2.66% | 22.80% | 8.91% | 11.80% | 20.23% | 24.59% | -2.58% | 9.96% | 15.05% | 21.93% | 31.48% |
| Dec 31, 2020 | 21.47% | 27.78% | 5.69% | 16.19% | 3.90% | 13.65% | 13.11% | 15.47% | 14.23% | 5.01% | 16.15% | 14.60% | 28.91% |
| Dec 31, 2019 | 16.77% | 5.66% | 6.37% | 14.22% | 4.04% | 15.42% | 13.05% | 18.26% | -1.79% | 12.91% | 31.15% | 13.31% | 27.84% |
| Dec 31, 2018 | 16.69% | 7.40% | 7.31% | 18.64% | 24.46% | 16.45% | 14.28% | 19.08% | 11.06% | 32.59% | 27.11% | -14.88% | 32.56% |
| Dec 31, 2017 | 8.29% | 1.21% | 3.44% | 17.68% | 3.11% | 7.79% | 16.74% | 14.00% | 0.45% | 14.40% | 16.93% | 3.77% | 20.87% |
| Dec 31, 2016 | -1.57% | -14.97% | 10.81% | 11.80% | -3.48% | 9.10% | 14.20% | 7.45% | -14.91% | -1.00% | 8.33% | 10.90% | 21.88% |
| Dec 31, 2015 | 8.10% | -21.23% | 9.87% | 9.00% | 12.88% | 11.08% | 7.59% | 7.00% | 7.40% | 12.01% | 8.76% | 10.38% | 18.40% |
| Dec 31, 2014 | 3.20% | -10.70% | 9.17% | 8.14% | 2.51% | 12.73% | 10.52% | 7.91% | 5.78% | 13.53% | 6.07% | 16.40% | 15.92% |
| Dec 31, 2013 | 6.27% | -1.91% | 10.55% | 2.13% | 16.16% | 10.42% | 10.27% | 1.57% | 5.83% | 6.22% | 8.77% | 15.06% | 11.42% |
| Dec 31, 2012 | 8.93% | -29.58% | 11.59% | 0.90% | 19.67% | 13.05% | 14.82% | 2.11% | 10.66% | -7.20% | 10.46% | 14.20% | 8.79% |
| Dec 30, 2011 | 17.08% | 9.91% | 16.44% | 13.90% | 22.57% | 18.20% | 16.99% | 17.84% | 14.26% | 1.13% | 5.63% | 11.70% | 10.91% |
| Dec 31, 2010 | 20.98% | 9.49% | 16.45% | 8.57% | 19.24% | 18.14% | 5.43% | 13.94% | 6.84% | 12.59% | -1.90% | 10.62% | 24.09% |
| Dec 31, 2009 | -10.83% | 3.35% | 7.28% | -3.19% | -2.23% | 8.23% | -14.50% | -15.48% | 3.34% | -16.02% | -0.90% | 5.80% | 12.13% |
| Dec 31, 2008 | -32.21% | -40.36% | 25.44% | 8.73% | — | 10.43% | 7.41% | 15.65% | -2.51% | -12.06% | 21.28% | 12.86% | 16.10% |
| Dec 31, 2007 | 5.00% | -29.26% | 16.72% | 16.05% | — | 12.54% | 11.42% | 32.63% | -0.27% | -2.16% | 16.78% | 17.86% | 20.98% |
| Dec 31, 2006 | 11.55% | -1.26% | 13.78% | 16.00% | — | 10.43% | 8.31% | 14.51% | 9.43% | 3.34% | 15.80% | 16.24% | 31.16% |
| Dec 31, 2005 | 4.87% | 2.27% | 9.05% | 10.74% | — | 17.93% | 11.71% | 20.66% | 5.08% | 2.35% | 6.16% | 17.17% | 15.43% |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-30), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
Comparison to Sector (Semiconductors & Semiconductor Equipment)
Teradyne Inc., ROA, long-term trends, comparison to sector (semiconductors & semiconductor equipment)
| Teradyne Inc. | Semiconductors & Semiconductor Equipment | |
|---|---|---|
| Dec 31, 2023 | 12.87% | 7.13% |
| Dec 31, 2022 | 20.44% | 12.17% |
| Dec 31, 2021 | 26.63% | 13.29% |
| Dec 31, 2020 | 21.47% | 11.86% |
| Dec 31, 2019 | 16.77% | 12.98% |
| Dec 31, 2018 | 16.69% | 17.25% |
| Dec 31, 2017 | 8.29% | 8.34% |
| Dec 31, 2016 | -1.57% | 6.69% |
| Dec 31, 2015 | 8.10% | 10.65% |
| Dec 31, 2014 | 3.20% | 12.05% |
| Dec 31, 2013 | 6.27% | 10.05% |
| Dec 31, 2012 | 8.93% | 9.54% |
| Dec 30, 2011 | 17.08% | 13.83% |
| Dec 31, 2010 | 20.98% | 14.54% |
| Dec 31, 2009 | -10.83% | 3.60% |
| Dec 31, 2008 | -32.21% | 6.42% |
| Dec 31, 2007 | 5.00% | 9.30% |
| Dec 31, 2006 | 11.55% | 12.06% |
| Dec 31, 2005 | 4.87% | 13.79% |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-30), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
Comparison to Industry (Information Technology)
Teradyne Inc., ROA, long-term trends, comparison to industry (information technology)
| Teradyne Inc. | Information Technology | |
|---|---|---|
| Dec 31, 2023 | 12.87% | 12.34% |
| Dec 31, 2022 | 20.44% | 14.33% |
| Dec 31, 2021 | 26.63% | 14.52% |
| Dec 31, 2020 | 21.47% | 11.46% |
| Dec 31, 2019 | 16.77% | 11.67% |
| Dec 31, 2018 | 16.69% | 10.94% |
| Dec 31, 2017 | 8.29% | 9.00% |
| Dec 31, 2016 | -1.57% | 9.68% |
| Dec 31, 2015 | 8.10% | 11.51% |
| Dec 31, 2014 | 3.20% | 12.33% |
| Dec 31, 2013 | 6.27% | 13.22% |
| Dec 31, 2012 | 8.93% | 14.06% |
| Dec 30, 2011 | 17.08% | 15.11% |
| Dec 31, 2010 | 20.98% | 14.45% |
| Dec 31, 2009 | -10.83% | 10.04% |
| Dec 31, 2008 | -32.21% | 11.87% |
| Dec 31, 2007 | 5.00% | 11.93% |
| Dec 31, 2006 | 11.55% | 12.20% |
| Dec 31, 2005 | 4.87% | 12.71% |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-30), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).