Fortune Brands Innovations Inc. (FBIN)
Return on assets (ROA)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 471,900 | 404,500 | 686,700 | 772,400 | 553,100 |
| Total assets | US$ in thousands | 6,561,800 | 6,565,000 | 6,120,900 | 7,936,200 | 7,358,700 |
| ROA | 7.19% | 6.16% | 11.22% | 9.73% | 7.52% |
December 31, 2024 calculation
ROA = Net income ÷ Total assets
= $471,900K ÷ $6,561,800K
= 7.19%
Fortune Brands Innovations Inc.'s Return on Assets (ROA) has shown fluctuations over the years based on the provided data. The ROA increased from 7.52% as of December 31, 2020, to 9.73% as of December 31, 2021, indicating improved efficiency in generating profits from its assets. Subsequently, the ROA further rose to 11.22% by December 31, 2022, suggesting continued effectiveness in utilizing its assets to generate earnings.
However, there was a decline in ROA to 6.16% by December 31, 2023, which may indicate a decrease in profitability relative to its assets during that period. The ROA then slightly recovered to 7.19% by December 31, 2024.
Overall, Fortune Brands Innovations Inc. has demonstrated mixed performance in terms of ROA during the period under review. It is essential for the company to further analyze the reasons behind the fluctuations in ROA to sustain and enhance its profitability relative to its asset base in the future.
Peer comparison
Dec 31, 2024