Parker-Hannifin Corporation (PH)

Return on assets (ROA)

		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	Dec 31, 2019	Sep 30, 2019
Net income (ttm)	US$ in thousands	2,844,215	2,768,208	2,632,523	2,345,909	2,082,936	1,502,811	1,259,939	1,252,302	1,315,605	1,692,512	1,817,648	1,878,399	1,747,045	1,537,023	1,436,466	1,190,040	1,208,188	1,326,140	1,364,792	1,474,604
Total assets	US$ in thousands	29,297,800	29,578,300	29,694,900	29,592,700	29,964,500	30,515,700	30,520,900	29,954,900	25,943,900	22,545,300	22,395,500	20,236,900	20,341,200	19,841,500	19,827,400	19,785,900	19,887,800	20,365,300	21,044,000	19,568,600
ROA		9.71%	9.36%	8.87%	7.93%	6.95%	4.92%	4.13%	4.18%	5.07%	7.51%	8.12%	9.28%	8.59%	7.75%	7.24%	6.01%	6.08%	6.51%	6.49%	7.54%

June 30, 2024 calculation

ROA = Net income (ttm) ÷ Total assets
= $2,844,215K ÷ $29,297,800K
= 9.71%

Over the past 20 quarters, Parker-Hannifin Corporation has displayed fluctuations in its return on assets (ROA) ratio. The ROA has varied between 4.13% and 9.71%, indicating a range of performance levels in generating profits from its assets.

The company's ROA showed an increasing trend from the first quarter of 2020 to the second quarter of 2021, reaching a peak of 9.71%. However, from the third quarter of 2021 to the first quarter of 2023, there was a downward trend in the ROA, possibly indicating challenges in efficiently utilizing its assets to generate profits.

Subsequently, there was a notable improvement in the ROA from the first quarter of 2023 to the second quarter of 2024, returning to levels above 9%. This rebound may suggest that the company implemented strategies to enhance asset efficiency and profitability.

Overall, Parker-Hannifin Corporation's ROA performance has shown variability over the analyzed period, indicating fluctuations in the company's ability to effectively utilize its assets to generate profits. The management may need to continue monitoring and optimizing asset utilization to maintain or improve financial performance in the future.