Novanta Inc (NOVT)
Return on assets (ROA)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 64,087 | 72,878 | 74,051 | 50,331 | 44,521 |
| Total assets | US$ in thousands | 1,388,510 | 1,226,060 | 1,241,210 | 1,227,880 | 865,179 |
| ROA | 4.62% | 5.94% | 5.97% | 4.10% | 5.15% |
December 31, 2024 calculation
ROA = Net income ÷ Total assets
= $64,087K ÷ $1,388,510K
= 4.62%
Novanta Inc's return on assets (ROA) has fluctuated over the years based on the provided data. The ROA was 5.15% as of December 31, 2020, showing a solid initial performance. However, there was a decrease to 4.10% by December 31, 2021, indicating a slight dip in profitability.
The company managed to improve its ROA to 5.97% by the end of 2022, reflecting a strong rebound and enhanced asset utilization. This positive trend continued into 2023, with the ROA remaining relatively stable at 5.94%.
By December 31, 2024, Novanta Inc experienced a decrease in ROA to 4.62%, suggesting a potential challenge in maintaining previous levels of asset productivity. It is essential for the company to assess and address factors impacting ROA to ensure sustained profitability and efficient asset management in the future.
Peer comparison
Dec 31, 2024