Lear Corporation (LEA)
Return on assets (ROA)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 506,600 | 572,500 | 327,700 | 373,900 | 158,500 |
| Total assets | US$ in thousands | 14,027,500 | 14,695,500 | 13,763,000 | 13,352,400 | 13,198,600 |
| ROA | 3.61% | 3.90% | 2.38% | 2.80% | 1.20% |
December 31, 2024 calculation
ROA = Net income ÷ Total assets
= $506,600K ÷ $14,027,500K
= 3.61%
Based on the provided data, Lear Corporation's return on assets (ROA) has shown a positive trend over the years. In December 2020, the ROA was 1.20%, which increased to 2.80% by the end of December 2021, reflecting improved asset utilization and efficiency.
Subsequently, by the end of December 2022, the ROA slightly decreased to 2.38%, possibly indicating some fluctuations in asset performance or changes in the company's asset base. However, Lear Corporation managed to bounce back in December 2023 with an ROA of 3.90%, demonstrating enhanced profitability relative to its asset base.
In the most recent data point of December 31, 2024, Lear Corporation's ROA was recorded at 3.61%, maintaining a strong performance in generating profits from its assets. Overall, the increasing trend in ROA indicates that Lear Corporation has been effectively utilizing its assets to generate higher returns for its stakeholders over the years.
Peer comparison
Dec 31, 2024