Fortive Corp (FTV)
Return on assets (ROA)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 832,900 | 865,800 | 755,200 | 608,400 | 1,613,300 |
| Total assets | US$ in thousands | 17,016,100 | 16,911,800 | 15,890,600 | 16,465,500 | 16,051,500 |
| ROA | 4.89% | 5.12% | 4.75% | 3.69% | 10.05% |
December 31, 2024 calculation
ROA = Net income ÷ Total assets
= $832,900K ÷ $17,016,100K
= 4.89%
Fortive Corp's return on assets (ROA) has fluctuated over the years based on the provided data. In 2020, the ROA was relatively high at 10.05%, indicating that the company was generating $10.05 in profit for every $100 of assets it owned. However, there was a significant decrease in 2021, with ROA dropping to 3.69%. This suggests a decline in the company's profitability relative to its asset base.
In the following years, Fortive Corp was able to improve its ROA, reaching 4.75% in 2022, 5.12% in 2023, and then slightly decreasing to 4.89% in 2024. These improvements indicate that the company was able to better utilize its assets to generate profits over time.
Overall, it is essential for Fortive Corp to continue monitoring and managing its ROA to ensure efficient use of its assets and sustained profitability in the future.
Peer comparison
Dec 31, 2024