Fortive Corp (FTV)

Operating return on assets (Operating ROA)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Operating income	US$ in thousands	1,133,700	987,400	812,800	539,400	443,900
Total assets	US$ in thousands	16,911,800	15,890,600	16,465,500	16,051,500	17,439,000
Operating ROA		6.70%	6.21%	4.94%	3.36%	2.55%

December 31, 2023 calculation

Operating ROA = Operating income ÷ Total assets
= $1,133,700K ÷ $16,911,800K
= 6.70%

Fortive Corp's operating return on assets (operating ROA) has shown a positive trend over the past five years. The operating ROA increased from 5.76% in 2019 to 6.70% in 2023, indicating an improvement in the company's ability to generate operating profits from its assets. This upward trend suggests that Fortive Corp has been able to enhance its operational efficiency and profitability over the years.

The consistent growth in operating ROA reflects positively on Fortive Corp's management effectiveness in utilizing its assets to generate operating income. It indicates that the company has been successful in increasing its operational performance and efficiency, resulting in a higher return on its assets.

Overall, the progression in Fortive Corp's operating ROA demonstrates a positive financial performance trajectory and suggests that the company has been able to create value from its assets through effective operational management.