Snap-On Inc (SNA)
Operating return on assets (Operating ROA)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 1,345,700 | 1,310,400 | 1,207,200 | 1,123,500 | 880,500 |
| Total assets | US$ in thousands | 7,896,800 | 7,544,900 | 6,972,800 | 6,759,700 | 6,557,300 |
| Operating ROA | 17.04% | 17.37% | 17.31% | 16.62% | 13.43% |
December 31, 2024 calculation
Operating ROA = Operating income ÷ Total assets
= $1,345,700K ÷ $7,896,800K
= 17.04%
The operating return on assets (ROA) of Snap-On Inc has shown a positive trend over the past five years, increasing from 13.43% as of December 31, 2020, to 17.04% as of December 31, 2024. This indicates the company's ability to generate profits from its operating activities relative to its total assets has been improving steadily.
The rising trend in operating ROA suggests that Snap-On Inc has been effectively utilizing its assets to generate operating income. This could be attributed to efficient operations, improved asset productivity, or effective cost management.
Overall, the increasing trend in operating ROA is a positive signal for the company's financial performance, reflecting its ability to generate higher returns on the assets deployed in its operations, which can be a key indicator of operational efficiency and profitability.
Peer comparison
Dec 31, 2024