Ingersoll Rand Inc (IR)

Return on assets (ROA)

Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 Dec 31, 2023 Sep 30, 2023 Jun 30, 2023 Mar 31, 2023 Dec 31, 2022 Sep 30, 2022 Jun 30, 2022 Mar 31, 2022 Dec 31, 2021 Sep 30, 2021 Jun 30, 2021 Mar 31, 2021 Dec 31, 2020 Sep 30, 2020 Jun 30, 2020 Mar 31, 2020
Net income (ttm) US$ in thousands 838,600 838,600 825,300 819,800 778,700 766,300 703,100 662,100 604,700 680,300 661,200 756,600 562,500 421,100 324,600 -86,900 -33,300 -159,200 -147,400 75,100
Total assets US$ in thousands 18,009,800 18,206,200 17,838,500 15,529,000 15,563,500 15,154,000 15,028,600 14,995,000 14,765,900 14,225,600 14,221,400 15,104,800 15,154,500 14,922,800 16,176,700 15,861,900 16,058,600 15,610,500 15,433,300 15,358,300
ROA 4.66% 4.61% 4.63% 5.28% 5.00% 5.06% 4.68% 4.42% 4.10% 4.78% 4.65% 5.01% 3.71% 2.82% 2.01% -0.55% -0.21% -1.02% -0.96% 0.49%

December 31, 2024 calculation

ROA = Net income (ttm) ÷ Total assets
= $838,600K ÷ $18,009,800K
= 4.66%

Ingersoll Rand Inc's return on assets (ROA) has exhibited fluctuations over the reporting periods. Initially, the company's ROA was negative in the second quarter of 2020, indicating that its assets were not generating sufficient profit. However, there was a significant turnaround in the first quarter of 2021, with ROA surging to 2.01%, and this positive trend continued to strengthen over the subsequent quarters.

By the end of 2024, Ingersoll Rand Inc's ROA stood at 4.66%, demonstrating a consistent improvement in utilizing its assets to generate earnings. The average ROA for the period under review was approximately 3.51%, suggesting that the company gradually enhanced its operational efficiency and profitability through better asset management strategies. Overall, the increasing trend in ROA reflects a positive performance in maximizing returns relative to the company's asset base.