TE Connectivity Ltd (TEL)
Return on assets (ROA)
| Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 3,193,000 | 1,910,000 | 2,428,000 | 2,261,000 | -241,000 |
| Total assets | US$ in thousands | 22,854,000 | 21,712,000 | 20,782,000 | 21,462,000 | 19,242,000 |
| ROA | 13.97% | 8.80% | 11.68% | 10.53% | -1.25% |
September 30, 2024 calculation
ROA = Net income ÷ Total assets
= $3,193,000K ÷ $22,854,000K
= 13.97%
TE Connectivity Ltd's return on assets (ROA) has been fluctuating over the past five years. In Sep 30, 2024, the company achieved an ROA of 13.97%, indicating that the company generated a profit of approximately 13.97 cents for every dollar of assets it holds. This is a significant improvement compared to the previous year, where the ROA was 8.80%.
In 2022 and 2021, TE Connectivity Ltd also demonstrated strong ROA figures of 11.68% and 10.53% respectively, showcasing efficiency in generating profits relative to its assets. However, in 2020, the company experienced a negative ROA of -1.25%, suggesting that the company incurred a loss relative to its assets during that period.
Overall, TE Connectivity Ltd's recent improvement in ROA suggests that the company has been effectively utilizing its assets to generate profits, which is a positive indicator of its operational efficiency and financial performance. Monitoring ROA trends over time can provide insights into the company's ability to generate returns from its asset base.
Peer comparison
Sep 30, 2024