Allegion PLC (ALLE)
Operating return on assets (Operating ROA)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 780,700 | 708,400 | 586,400 | 530,200 | 403,500 |
| Total assets | US$ in thousands | 4,487,800 | 4,311,500 | 3,991,200 | 3,051,000 | 3,069,400 |
| Operating ROA | 17.40% | 16.43% | 14.69% | 17.38% | 13.15% |
December 31, 2024 calculation
Operating ROA = Operating income ÷ Total assets
= $780,700K ÷ $4,487,800K
= 17.40%
Allegion PLC's operating return on assets (Operating ROA) has shown a positive trend over the past five years. Starting at 13.15% on December 31, 2020, it has steadily increased to 17.40% by December 31, 2024. This indicates that Allegion has been able to generate more operating income relative to its assets over time, reflecting improved operational efficiency and profitability. The peaks and troughs in the Operating ROA figures suggest some fluctuations in performance but overall, the upward trajectory is a positive sign for the company's financial health and effective asset utilization.