Eli Lilly and Company (LLY)

Return on assets (ROA)

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Net income	US$ in thousands	10,590,000	5,240,400	6,244,800	5,581,700	6,193,700
Total assets	US$ in thousands	78,714,900	64,006,300	49,489,800	48,806,000	46,633,100
ROA		13.45%	8.19%	12.62%	11.44%	13.28%

December 31, 2024 calculation

ROA = Net income ÷ Total assets
= $10,590,000K ÷ $78,714,900K
= 13.45%

Based on the provided data, Eli Lilly and Company's return on assets (ROA) has exhibited fluctuations over the past five years.

- In December 31, 2020, the ROA was at 13.28%, indicating that the company generated a return of 13.28 cents on every dollar of assets.
- By the end of December 31, 2021, the ROA slightly decreased to 11.44%, suggesting a slight decline in the company's efficiency in generating profits from its assets.
- However, there was a recovery in the ROA by December 31, 2022, where it increased to 12.62%, showcasing improved profitability relative to the previous year.
- The trend reversed in December 31, 2023, with the ROA dropping significantly to 8.19%, indicating a decrease in the company's ability to generate profits from its assets.
- In the most recent year, December 31, 2024, Eli Lilly and Company experienced a notable improvement in ROA, reaching 13.45%, indicating a strong performance in generating profits relative to its asset base.

Overall, Eli Lilly and Company's ROA has demonstrated variability over the years, highlighting the importance of closely monitoring and analyzing this metric to assess the company's operational efficiency and profitability from its asset utilization.