Johnson & Johnson (JNJ)
Return on assets (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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | 35,153,000 | 34,624,000 | 13,054,000 | 12,724,000 | 17,941,000 | 19,157,000 | 18,366,000 | 19,830,000 | 20,878,000 | 17,880,000 | 17,767,000 | 15,115,000 | 14,714,000 | 16,986,000 | 15,185,000 | 17,166,000 | 15,119,000 | 14,151,000 | 16,332,000 | 14,679,000 |
| 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 |
| ROA | 20.98% | 20.85% | 6.81% | 6.49% | 9.57% | 10.94% | 10.33% | 11.12% | 11.47% | 9.98% | 10.07% | 8.76% | 8.41% | 9.95% | 9.59% | 11.07% | 9.59% | 9.10% | 10.53% | 9.78% |
December 31, 2023 calculation
ROA = Net income (ttm) ÷ Total assets
= $35,153,000K ÷ $167,558,000K
= 20.98%
Johnson & Johnson's return on assets (ROA) has shown variability over the past eight quarters. In Q4 2023 and Q3 2023, the company achieved significantly high ROA percentages of 20.98% and 20.85%, respectively. This indicates that for every dollar of assets, Johnson & Johnson generated a return of approximately 21 cents during these quarters.
However, there was a notable drop in ROA in Q2 2023 and Q1 2023, where the percentages were 6.81% and 6.49% respectively. This indicates that the company's ability to generate profits from its assets decreased significantly during these periods.
Comparing the most recent quarters with the same periods a year ago, there was a noticeable improvement in ROA. In Q4 2023, the ROA was 20.98% compared to 9.57% in Q4 2022, and in Q3 2023, the ROA was 20.85% compared to 10.94% in Q3 2022. This suggests that Johnson & Johnson has made significant progress in efficiently utilizing its assets to generate higher returns for its shareholders.
Overall, Johnson & Johnson's ROA has shown fluctuations, with some quarters performing exceptionally well while others lagging behind. It is crucial for the company to consistently monitor and improve its asset utilization to ensure sustainable profitability and value creation for its stakeholders.
Peer comparison
Dec 31, 2023