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ZimVie ROA %

: -1.99% (As of Jun. 2022)
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ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. ZimVie's annualized Net Income for the quarter that ended in Jun. 2022 was $-34.8 Mil. ZimVie's average Total Assets over the quarter that ended in Jun. 2022 was $1,753.4 Mil. Therefore, ZimVie's annualized ROA % for the quarter that ended in Jun. 2022 was -1.99%.

The historical rank and industry rank for ZimVie's ROA % or its related term are showing as below:

ZIMV' s ROA % Range Over the Past 10 Years
Min: -8.82   Med: -5.05   Max: -1.33
Current: -7.02

During the past 4 years, ZimVie's highest ROA % was -1.33%. The lowest was -8.82%. And the median was -5.05%.

ZIMV's ROA % is ranked worse than
55.97% of 854 companies
in the Medical Devices & Instruments industry
Industry Median: -1.16 vs ZIMV: -7.02

ZimVie ROA % Historical Data

The historical data trend for ZimVie's ROA % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

ZimVie Annual Data
Trend Dec18 Dec19 Dec20 Dec21
ROA %
- -1.33 -8.82 -5.05

ZimVie Quarterly Data
Dec18 Dec19 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22
ROA % Premium Member Only Premium Member Only Premium Member Only Premium Member Only - -6.70 -13.36 -5.70 -1.99

Competitive Comparison

For the Medical Devices subindustry, ZimVie's ROA %, along with its competitors' market caps and ROA % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

   

ZimVie ROA % Distribution

For the Medical Devices & Instruments industry and Healthcare sector, ZimVie's ROA % distribution charts can be found below:

* The bar in red indicates where ZimVie's ROA % falls into.



ZimVie ROA % Calculation

ZimVie's annualized ROA % for the fiscal year that ended in Dec. 2021 is calculated as:

ROA %=Net Income (A: Dec. 2021 )/( (Total Assets (A: Dec. 2020 )+Total Assets (A: Dec. 2021 ))/ count )
=-95.3/( (1949.2+1826.7)/ 2 )
=-95.3/1887.95
=-5.05 %

ZimVie's annualized ROA % for the quarter that ended in Jun. 2022 is calculated as:

ROA %=Net Income (Q: Jun. 2022 )/( (Total Assets (Q: Mar. 2022 )+Total Assets (Q: Jun. 2022 ))/ count )
=-34.848/( (1774.265+1732.587)/ 2 )
=-34.848/1753.426
=-1.99 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

In the calculation of annual ROA %, the net income of the last fiscal year and the average total assets over the fiscal year are used. In calculating the quarterly data, the Net Income data used here is four times the quarterly (Jun. 2022) net income data. ROA % is displayed in the 30-year financial page.


ZimVie  (NAS:ZIMV) ROA % Explanation

ROA % measures the rate of return on the total assets (shareholder equity plus liabilities). It measures a firm's efficiency at generating profits from shareholders' equity plus its liabilities. ROA % shows how well a company uses what it has to generate earnings. ROA %s can vary drastically across industries. Therefore, ROA % should not be used to compare companies in different industries. For retailers, a ROA % of higher than 5% is expected. For example, Wal-Mart (WMT) has a ROA % of about 8% as of 2012. For banks, ROA % is close to their interest spread. A bank’s ROA % is typically well under 2%.

Similar to ROE, ROA % is affected by profit margins and asset turnover. This can be seen from the Du Pont Formula:

ROA %(Q: Jun. 2022 )
=Net Income/Total Assets
=-34.848/1753.426
=(Net Income / Revenue)*(Revenue / Total Assets)
=(-34.848 / 938.256)*(938.256 / 1753.426)
=Net Margin %*Asset Turnover
=-3.71 %*0.5351
=-1.99 %

Note: The Net Income data used here is four times the quarterly (Jun. 2022) net income data. The Revenue data used here is four times the quarterly (Jun. 2022) revenue data.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Be Aware

Like ROE, ROA % is calculated with only 12 months data. Fluctuations in the company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective. ROA % can be affected by events such as stock buyback or issuance, and by goodwill, a company's tax rate and its interest payment. ROA % may not reflect the true earning power of the assets. A more accurate measurement is ROC % (ROC).

Many analysts argue the higher return the better. Buffett states that really high ROA % may indicate vulnerability in the durability of the competitive advantage.

E.g. Raising $43b to take on KO is impossible, but $1.7b to take on Moody's is. Although Moody's ROA % and underlying economics is far superior to Coca Cola, the durability is far weaker because of lower entry cost.


ZimVie ROA % Related Terms

Thank you for viewing the detailed overview of ZimVie's ROA % provided by GuruFocus.com. Please click on the following links to see related term pages.


ZimVie Business Description

ZimVie logo
Traded in Other Exchanges
Address
345 East Main Street, Warsaw, IN, USA, 46580
ZimVie Inc is focused on the dental and spine markets and their respective growth drivers such as implants, surgical tools, bone graft substitutes, spinal fusion implants, non-fusion alternatives, and digital care management solutions.
Executives
Crawford Sally director C/O HOLOGIC, INC. BEDFORD MA 01730
Kuntz Richard director MEDTRONIC, INC. 710 MEDTRONIC PWKY MS LC 310 MINNEAPOLIS MN 55432
Asar Vinit K director 10910 DOMAIN DRIVE, SUITE 300 AUSTIN TX 78758
Matusinec Karen director C/O ZIMVIE INC. 10225 WESTMOOR DRIVE WESTMINSTER CO 80021
King David P director PRIVIA HEALTH GROUP, INC. 950 N. GLEBE RD., SUITE 700 ARLINGTON VA 22203
Zimmer Biomet Holdings, Inc. 10 percent owner 345 EAST MAIN STREET WARSAW IN 46580
Whitney Rebecca Ann officer: See Remarks 10225 WESTMOOR DRIVE WESTMINSTER CO 80021
Harmon David John officer: See Remarks 10225 WESTMOOR DRIVE WESTMINSTER CO 80021
Jamali Vafa director, officer: See Remarks C/O ZIMVIE INC. 10225 WESTMOOR DRIVE WESTMINSTER CO 80021
Kanaglekar Indraneel officer: See Remarks C/O ZIMVIE INC. 10225 WESTMOOR DRIVE WESTMINSTER CO 80021
Kidwell Heather officer: See Remarks C/O ZIMVIE INC. 10225 WESTMOOR DRIVE WESTMINSTER CO 80021
Schneider Sandra officer: Chief Accounting Officer C/O ZIMVIE INC. 10225 WESTMOOR DRIVE WESTMINSTER CO 80021
Heppenstall Richard officer: See Remarks C/O ZIMVIE INC. 10225 WESTMOOR DRIVE WESTMINSTER CO 80021
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