ITT Inc (ITT)

Operating return on assets (Operating 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
Operating income (ttm) US$ in thousands 676,000 634,900 570,100 553,100 528,200 560,300 539,200 497,700 468,000 430,200 409,900 489,000 504,300 550,400 386,200 227,100 226,500 149,600 364,600 430,100
Total assets US$ in thousands 4,710,700 4,944,500 4,410,300 4,403,700 3,932,600 3,802,300 3,885,400 3,767,800 3,780,300 3,690,200 3,699,900 3,725,600 3,565,400 3,454,200 3,462,300 4,179,700 4,277,600 4,176,400 4,151,300 4,276,600
Operating ROA 14.35% 12.84% 12.93% 12.56% 13.43% 14.74% 13.88% 13.21% 12.38% 11.66% 11.08% 13.13% 14.14% 15.93% 11.15% 5.43% 5.30% 3.58% 8.78% 10.06%

December 31, 2024 calculation

Operating ROA = Operating income (ttm) ÷ Total assets
= $676,000K ÷ $4,710,700K
= 14.35%

ITT Inc's operating return on assets (Operating ROA) has shown fluctuations over the period from March 31, 2020 to December 31, 2024. The trend indicates some variability in the company's ability to generate operating income relative to its total assets.

The Operating ROA stood at 10.06% on March 31, 2020, decreased to 3.58% by September 30, 2020, and then gradually improved to 15.93% by September 30, 2021. This period reflects a mix of strong and weak performance in terms of utilizing its assets to generate operating profits.

From December 31, 2021, to June 30, 2022, the Operating ROA remained relatively stable around 11-14%, indicating a consistent operational performance during this period.

Notably, there was a peak in Operating ROA of 14.74% on September 30, 2023, followed by some fluctuation in the subsequent quarters but generally remaining above 12%.

By December 31, 2024, the Operating ROA rebounded to 14.35%, showcasing the company's improved efficiency in generating operating income from its assets compared to earlier periods.

Overall, despite some fluctuations, ITT Inc's Operating ROA demonstrates the company's ability to effectively utilize its assets to generate operating profits, with a general positive trend observed towards the latter part of the period under review.