Linde plc Ordinary Shares (LIN)

Return on assets (ROA)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Net income	US$ in thousands	6,199,000	4,147,000	3,826,000	2,501,000	2,285,000
Total assets	US$ in thousands	80,811,000	79,658,000	81,605,000	88,229,000	86,612,000
ROA		7.67%	5.21%	4.69%	2.83%	2.64%

December 31, 2023 calculation

ROA = Net income ÷ Total assets
= $6,199,000K ÷ $80,811,000K
= 7.67%

The return on assets (ROA) of Linde Plc. has gradually improved over the past five years, indicating a positive trend in the company's ability to generate profits from its assets.

In 2019, the ROA was 2.64%, which increased to 2.83% in 2020, reflecting a steady growth rate. Subsequently, there was a more significant improvement in ROA to 4.69% in 2021, demonstrating a substantial enhancement in the company's asset utilization efficiency.

The positive momentum continued with a ROA of 5.21% in 2022, indicating continued progress in generating returns from its assets. The most recent data for December 31, 2023, shows a further improvement in ROA to 7.67%, suggesting that Linde Plc. has been effectively managing its assets to generate higher returns for its shareholders.

Overall, the trend in Linde Plc.'s ROA signifies a positive performance in terms of utilizing its assets efficiently to generate profits over the past five years. This metric indicates the company's effectiveness in deploying its resources to drive profitability and create value for its stakeholders.