Fortive Corp (FTV)
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 | 1,206,600 | 1,133,700 | 987,400 | 812,800 | 539,400 |
| Total assets | US$ in thousands | 17,016,100 | 16,911,800 | 15,890,600 | 16,465,500 | 16,051,500 |
| Operating ROA | 7.09% | 6.70% | 6.21% | 4.94% | 3.36% |
December 31, 2024 calculation
Operating ROA = Operating income ÷ Total assets
= $1,206,600K ÷ $17,016,100K
= 7.09%
Fortive Corp's operating return on assets (operating ROA) has shown a positive trend over the past five years, increasing steadily from 3.36% as of December 31, 2020, to 7.09% as of December 31, 2024. This indicates that the company has been able to generate more operating profit relative to its total assets over the years, reflecting improving efficiency in asset utilization and profitability. The increasing trend in operating ROA suggests that Fortive Corp's management has been successful in maximizing operational performance and optimizing its asset base to drive higher returns. The consistent improvement in operating ROA is a positive signal for investors, signaling the company's ability to generate more earnings from its asset base.
Peer comparison
Dec 31, 2024