Alphabet Inc Class A (GOOGL)
Return on assets (ROA)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 100,118,000 | 73,795,000 | 59,972,000 | 76,033,000 | 40,269,000 |
| Total assets | US$ in thousands | 450,256,000 | 402,392,000 | 365,264,000 | 359,268,000 | 319,616,000 |
| ROA | 22.24% | 18.34% | 16.42% | 21.16% | 12.60% |
December 31, 2024 calculation
ROA = Net income ÷ Total assets
= $100,118,000K ÷ $450,256,000K
= 22.24%
Based on the data provided for Alphabet Inc Class A, the return on assets (ROA) has demonstrated a positive trend over the past five years.
- In December 31, 2020, the ROA was 12.60%, indicating that the company generated a return of 12.60 cents for every dollar of assets it owned.
- By December 31, 2021, the ROA increased to 21.16%, highlighting an improvement in the company's efficiency in utilizing its assets to generate profits.
- Despite a slight decrease in ROA to 16.42% by December 31, 2022, the company continued to maintain a relatively strong performance in asset utilization.
- The ROA further improved to 18.34% by December 31, 2023, indicating that Alphabet Inc Class A was becoming more efficient in generating profits relative to its asset base.
- The most recent data as of December 31, 2024, shows a notable increase in ROA to 22.24%, suggesting that the company's asset utilization efficiency has further improved over time.
Overall, the increasing trend in ROA over the years signifies Alphabet Inc Class A's ability to generate higher returns from its assets, demonstrating effective management and operational performance.
Peer comparison
Dec 31, 2024