3M Company (MMM)
Return on assets (ROA)
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | 4,173,000 | 4,390,000 | 943,000 | -7,043,000 | -6,995,000 | -7,399,000 | -1,465,000 | 5,454,000 | 5,777,000 | 6,575,000 | 4,150,000 | 5,596,000 | 5,921,000 | 5,971,000 | 5,967,000 | 5,749,000 | 5,433,000 | 5,013,000 | 5,166,000 | 4,987,000 |
| Total assets | US$ in thousands | 39,868,000 | 40,875,000 | 43,377,000 | 55,243,000 | 50,580,000 | 49,621,000 | 48,880,000 | 46,886,000 | 46,455,000 | 46,176,000 | 45,634,000 | 45,855,000 | 47,072,000 | 48,278,000 | 48,307,000 | 47,180,000 | 47,344,000 | 45,390,000 | 45,079,000 | 46,212,000 |
| ROA | 10.47% | 10.74% | 2.17% | -12.75% | -13.83% | -14.91% | -3.00% | 11.63% | 12.44% | 14.24% | 9.09% | 12.20% | 12.58% | 12.37% | 12.35% | 12.19% | 11.48% | 11.04% | 11.46% | 10.79% |
December 31, 2024 calculation
ROA = Net income (ttm) ÷ Total assets
= $4,173,000K ÷ $39,868,000K
= 10.47%
The return on assets (ROA) of 3M Company has shown fluctuations over the past few years. From March 31, 2020, to June 30, 2021, the ROA steadily increased from 10.79% to 12.35%, indicating an improving efficiency in generating profits from its assets. However, there was a slight dip in the ROA to 9.09% on June 30, 2022.
The company experienced a significant surge in ROA on September 30, 2022, reaching 14.24%, suggesting a more effective utilization of assets to generate earnings. This was followed by a slight decrease to 12.44% on December 31, 2022, and further declines in the subsequent quarters, dropping to negative figures by September 30, 2023.
The negative ROA values from March 31, 2023, to December 31, 2023, indicate that the company's assets were generating losses rather than profits during that period. However, there was a turnaround in the ROA on June 30, 2024, showing a positive percentage of 2.17%. This positive trend continued with ROA values reaching 10.47% by December 31, 2024.
Overall, the analysis of ROA indicates that 3M Company experienced fluctuations in its efficiency in generating profits from its assets over the reviewed period, with some quarters displaying significant improvements while others showed declines or losses. It would be important for investors and stakeholders to further investigate the factors behind these shifts in ROA to assess the company's financial performance and asset management strategies.
Peer comparison
Dec 31, 2024