Gates Industrial Corporation plc (GTES)

Return on assets (ROA)

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Net income US$ in thousands 194,900 232,900 220,800 297,100 79,400
Total assets US$ in thousands 6,786,300 7,254,500 7,191,600 7,533,000 7,426,300
ROA 2.87% 3.21% 3.07% 3.94% 1.07%

December 31, 2024 calculation

ROA = Net income ÷ Total assets
= $194,900K ÷ $6,786,300K
= 2.87%

Gates Industrial Corporation plc's Return on Assets (ROA) has shown positive trends over the past five years, as indicated by the data provided. The ROA increased from 1.07% on December 31, 2020, to 3.94% on December 31, 2021, marking a significant improvement in the company's efficiency in generating profits from its assets.

Although there was a slight decrease in ROA to 3.07% on December 31, 2022, the company managed to maintain a relatively strong level of return on assets. Subsequently, there was a small increase to 3.21% on December 31, 2023, indicating continued effectiveness in using its assets to generate earnings.

However, on December 31, 2024, the ROA for Gates Industrial Corporation plc declined slightly to 2.87%. Despite this decrease, the company's ROA still remains above the level observed in 2020, suggesting that the company has been able to maintain a satisfactory level of profitability relative to its asset base.

Overall, the trend in Gates Industrial Corporation plc's Return on Assets demonstrates a generally positive performance, with fluctuations in ROA levels reflecting potential changes in the company's asset efficiency and profitability over the five-year period.