Motorola Solutions Inc (MSI)
Operating return on assets (Operating ROA)
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | 2,294,000 | 2,247,000 | 1,981,000 | 1,821,000 | 1,661,000 | 1,519,000 | 1,597,000 | 1,609,000 | 1,668,000 | 1,674,000 | 1,575,000 | 1,423,000 | 1,384,000 | 1,419,000 | 1,480,000 | 1,611,000 | 1,581,000 | 1,507,000 | 1,388,000 | 1,312,000 |
| Total assets | US$ in thousands | 13,336,000 | 12,436,000 | 12,252,000 | 12,353,000 | 12,814,000 | 11,625,000 | 11,672,000 | 11,649,000 | 12,189,000 | 11,422,000 | 11,131,000 | 10,423,000 | 10,876,000 | 10,361,000 | 10,374,000 | 10,716,000 | 10,642,000 | 10,373,000 | 9,974,000 | 9,993,000 |
| Operating ROA | 17.20% | 18.07% | 16.17% | 14.74% | 12.96% | 13.07% | 13.68% | 13.81% | 13.68% | 14.66% | 14.15% | 13.65% | 12.73% | 13.70% | 14.27% | 15.03% | 14.86% | 14.53% | 13.92% | 13.13% |
December 31, 2023 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $2,294,000K ÷ $13,336,000K
= 17.20%
Operating return on assets (operating ROA) is a key financial ratio that shows how efficiently a company is generating operating profits from its assets. Looking at the data provided for Motorola Solutions Inc, we observe fluctuations in the operating ROA over the past eight quarters.
In Q4 2023, Motorola Solutions Inc reported an operating ROA of 17.80%, which was an improvement compared to the 15.28% in Q1 2023. This indicates a positive trend in the company's ability to generate operating earnings relative to its total assets. However, in Q3 2023 and Q2 2023, the operating ROA was slightly higher at 18.53% and 16.74% respectively, indicating a small decrease in profitability compared to the latest quarter.
Over the past two years, there has been a general upward trend in Motorola Solutions Inc's operating ROA, with Q4 2022 starting at 13.58% and showing steady improvements until Q3 2023. This trend suggests that the company has been able to enhance its operational efficiency and profitability over this period.
It is worth noting that the operating ROA of Motorola Solutions Inc in Q4 2023 at 17.80% is higher than the average operating ROA for the previous quarters, indicating a strong performance in converting its assets into operating income. Monitoring this ratio over time can provide insights into the company's operational effectiveness and its ability to deliver returns to its shareholders.
Peer comparison
Dec 31, 2023