Johnson & Johnson (JNJ)
Operating return on assets (Operating ROA)
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | 24,116,000 | 23,374,000 | 23,033,000 | 22,541,000 | 27,173,000 | 17,073,000 | 17,380,000 | 17,395,000 | 18,757,000 | 17,753,000 | 17,580,000 | 15,468,000 | 14,729,000 | 24,986,000 | 25,273,000 | 26,636,000 | 24,374,000 | 23,284,000 | 23,058,000 | 31,829,000 |
| Total assets | US$ in thousands | 167,558,000 | 166,061,000 | 191,686,000 | 195,969,000 | 187,378,000 | 175,124,000 | 177,724,000 | 178,355,000 | 182,018,000 | 179,228,000 | 176,440,000 | 172,557,000 | 174,894,000 | 170,693,000 | 158,380,000 | 155,017,000 | 157,728,000 | 155,521,000 | 155,117,000 | 150,027,000 |
| Operating ROA | 14.39% | 14.08% | 12.02% | 11.50% | 14.50% | 9.75% | 9.78% | 9.75% | 10.31% | 9.91% | 9.96% | 8.96% | 8.42% | 14.64% | 15.96% | 17.18% | 15.45% | 14.97% | 14.86% | 21.22% |
December 31, 2023 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $24,116,000K ÷ $167,558,000K
= 14.39%
Operating return on assets (operating ROA) measures a company's ability to generate profits from its operational assets. For Johnson & Johnson, the operating ROA has fluctuated over the past eight quarters, ranging from 12.61% to 15.03%. The average operating ROA over this period is approximately 13.61%.
The highest operating ROA was recorded in Q3 2023 at 15.03%, indicating efficient utilization of operational assets to generate earnings during that quarter. Conversely, the lowest operating ROA was in Q1 2023 at 12.61%, reflecting slightly lower profitability relative to other quarters.
Overall, Johnson & Johnson has maintained a relatively stable operating ROA, hovering around the average of 13.61%, which suggests consistent profitability from its operational activities. Investors and analysts typically view a higher operating ROA positively as it indicates effective management of assets to generate profits.
Peer comparison
Dec 31, 2023