Fortive Corp (FTV)

Return on assets (ROA)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Net income	US$ in thousands	865,800	755,200	608,400	1,613,300	738,900
Total assets	US$ in thousands	16,911,800	15,890,600	16,465,500	16,051,500	17,439,000
ROA		5.12%	4.75%	3.69%	10.05%	4.24%

December 31, 2023 calculation

ROA = Net income ÷ Total assets
= $865,800K ÷ $16,911,800K
= 5.12%

Based on the data provided, Fortive Corp's return on assets (ROA) has varied over the past five years. In 2023, the ROA was 5.12%, showing an increase from the previous year's 4.75%. This improvement suggests that Fortive Corp generated 5.12 cents of profit for every dollar of assets in 2023.

Comparing further back, the 2023 ROA of 5.12% is lower than the unusually high figure of 9.62% in 2020. The performance in 2020 indicates that the company was more efficient in generating profit from its assets compared to 2023. However, it should be noted that the 2020 result may have been influenced by unique factors specific to that year.

Looking at the trend, Fortive Corp's ROA fluctuated between 3.49% in 2021 and 9.62% in 2020. This variability suggests that the company's profitability in relation to its assets has not been consistently stable over the five-year period.

In summary, Fortive Corp's return on assets has shown fluctuations over the past five years, with the latest ROA of 5.12% indicating a moderate improvement in asset utilization and profitability compared to the previous year. Further analysis would be beneficial to understand the factors driving these changes in ROA.