GE Aerospace (GE)

Return on assets (ROA)

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Net income	US$ in thousands	6,556,000	9,482,000	339,000	-6,520,000	5,704,000
Total assets	US$ in thousands	123,140,000	173,300,000	188,851,000	198,874,000	256,211,000
ROA		5.32%	5.47%	0.18%	-3.28%	2.23%

December 31, 2024 calculation

ROA = Net income ÷ Total assets
= $6,556,000K ÷ $123,140,000K
= 5.32%

Based on the provided data, GE Aerospace's return on assets (ROA) has varied over the years. In 2020, the ROA was 2.23%, indicating that for every dollar of assets, the company generated a return of 2.23 cents. However, in 2021, the ROA turned negative at -3.28%, suggesting that the company incurred losses relative to its assets.

The following year, in 2022, the ROA improved slightly to 0.18%, but it remained relatively low. Subsequently, the ROA showed a significant increase in 2023 to 5.47%, indicating a stronger performance in utilizing its assets to generate profits. This positive trend continued in 2024, with the ROA remaining high at 5.32%, showcasing ongoing efficiency in asset utilization.

Overall, GE Aerospace's ROA has displayed fluctuations, with periods of both positive and negative returns. The company's ability to sustain and increase its ROA in recent years suggests an improvement in profitability and efficiency in asset management.