ManpowerGroup Inc (MAN)

Return on assets (ROA)

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Net income US$ in thousands 145,100 88,800 373,800 382,400 23,800
Total assets US$ in thousands 8,201,000 8,830,200 9,130,400 9,828,900 9,328,200
ROA 1.77% 1.01% 4.09% 3.89% 0.26%

December 31, 2024 calculation

ROA = Net income ÷ Total assets
= $145,100K ÷ $8,201,000K
= 1.77%

ManpowerGroup Inc's return on assets (ROA) has shown significant variability over the past five years. The ROA was relatively low at 0.26% as of December 31, 2020, reflecting a modest return generated from the company's assets. However, there was a substantial improvement in ROA to 3.89% by December 31, 2021, and further to 4.09% by December 31, 2022. These increases indicate that the company was able to generate more income relative to its assets during these periods.

In contrast, there was a notable decline in ROA to 1.01% by December 31, 2023, suggesting a decrease in the company's efficiency in using its assets to generate earnings. This trend was followed by a slight recovery to 1.77% by December 31, 2024.

Overall, ManpowerGroup Inc's ROA has shown fluctuations, indicating varying levels of effectiveness in utilizing its assets to generate profits. It is essential for the company to consistently monitor and improve its asset management efficiency to enhance overall financial performance in the future.