Microsoft Corporation (MSFT)
Operating return on assets (Operating ROA)
| Jun 30, 2025 | Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 128,528,000 | 109,433,000 | 88,523,000 | 83,383,000 | 69,916,000 |
| Total assets | US$ in thousands | 619,003,000 | 512,163,000 | 411,976,000 | 364,840,000 | 333,779,000 |
| Operating ROA | 20.76% | 21.37% | 21.49% | 22.85% | 20.95% |
June 30, 2025 calculation
Operating ROA = Operating income ÷ Total assets
= $128,528,000K ÷ $619,003,000K
= 20.76%
The operating return on assets (ROA) for Microsoft Corporation over the period from June 30, 2021, to June 30, 2025, demonstrates a generally favorable trend, with some fluctuations observed across the reporting years.
Beginning at 20.95% on June 30, 2021, the operating ROA increased in the subsequent year to 22.85% as of June 30, 2022. This indicates improved efficiency in generating operating income relative to the asset base during this period. However, the following year showed a slight decline, with the operating ROA decreasing to 21.49% as of June 30, 2023. Despite this dip, the ratio remained relatively robust, maintaining a level well above the 2021 figure.
In the subsequent years, the ratio experienced marginal declines. As of June 30, 2024, it was recorded at 21.37%, reflecting a slight reduction in operating efficiency relative to assets compared to the prior year. Continuing this trend, the operating ROA further decreased to 20.76% as of June 30, 2025.
Overall, the data suggests that while Microsoft was able to sustain a relatively high level of operating efficiency over this four-year period, there has been a modest downward trend since peaking in 2022. This pattern may indicate increasing asset base or changes in operating margins, though it remains above its 2021 level, indicating continued strong operational performance.
Peer comparison
Jun 30, 2025