Synopsys Inc (SNPS)

Return on assets (ROA)

		Oct 31, 2024	Oct 31, 2023	Oct 31, 2022	Oct 31, 2021	Oct 31, 2020
Net income	US$ in thousands	2,263,380	1,229,890	984,594	757,516	664,347
Total assets	US$ in thousands	13,073,600	10,333,100	9,418,090	8,752,260	8,030,060
ROA		17.31%	11.90%	10.45%	8.66%	8.27%

October 31, 2024 calculation

ROA = Net income ÷ Total assets
= $2,263,380K ÷ $13,073,600K
= 17.31%

Synopsys Inc's return on assets (ROA) has shown a positive trend over the past five years, increasing from 8.27% in 2020 to 17.31% in 2024. This indicates that the company has been generating more earnings relative to its assets over time.

The significant improvement in ROA suggests that Synopsys Inc has been effectively utilizing its assets to generate profits, which is a positive sign for investors and stakeholders. A higher ROA typically reflects better management of assets and operational efficiency, indicating that the company is making efficient use of its resources to generate profits.

Overall, the increasing trend in ROA for Synopsys Inc signifies improved profitability and efficiency in utilizing assets, which could enhance shareholder value and support the company's financial performance in the long run.