Procter & Gamble Company (PG)
Return on assets (ROA)
| Jun 30, 2025 | Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 15,974,000 | 14,879,000 | 14,653,000 | 14,742,000 | 14,306,000 |
| Total assets | US$ in thousands | 125,231,000 | 122,370,000 | 120,829,000 | 117,208,000 | 119,307,000 |
| ROA | 12.76% | 12.16% | 12.13% | 12.58% | 11.99% |
June 30, 2025 calculation
ROA = Net income ÷ Total assets
= $15,974,000K ÷ $125,231,000K
= 12.76%
The return on assets (ROA) for Procter & Gamble Company over the specified periods demonstrates a generally stable trend with slight fluctuations. As of June 30, 2021, the ROA was 11.99%, indicating the company's efficiency in generating earnings from its assets at that time. Moving to June 30, 2022, the ROA increased to 12.58%, suggesting an improvement in asset utilization and profitability, possibly reflecting operational efficiencies or higher net income relative to assets.
However, in the subsequent year, June 30, 2023, the ROA slightly declined to 12.13%. This marginal decrease could be attributable to various factors such as increased asset base, variations in net income, or changes in operational margins, pointing to a minor reduction in the company's effectiveness in utilizing its assets to generate earnings.
By June 30, 2024, the ROA experienced a marginal uptick to 12.16%, indicating a stabilization in asset efficiency and profitability, albeit at a level close to the previous year's figures. The most recent data, as of June 30, 2025, reports a ROA of 12.76%, reflecting a positive upward movement. This increase suggests that Procter & Gamble has enhanced its ability to generate earnings relative to its assets, possibly through improved operational performance, cost controls, or strategic initiatives.
Overall, the company's ROA trends point towards a steady and somewhat resilient profitability pattern in relation to its asset base. Minor fluctuations reflect typical variations in operational conditions, but the long-term trend displays a modest overall increase from the 11.99% level in 2021 to 12.76% in 2025. This pattern underscores the company's consistent capacity to generate profits efficiently from its assets over the period under review.