Teleflex Incorporated (TFX)
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 | 151,013 | 506,313 | 499,725 | 628,095 | 423,068 |
| Total assets | US$ in thousands | 7,097,910 | 7,532,550 | 6,928,060 | 6,871,720 | 7,152,560 |
| Operating ROA | 2.13% | 6.72% | 7.21% | 9.14% | 5.91% |
December 31, 2024 calculation
Operating ROA = Operating income ÷ Total assets
= $151,013K ÷ $7,097,910K
= 2.13%
Operating Return on Assets (Operating ROA) is a key financial ratio that indicates the efficiency of a company in generating operating income relative to its total assets. The trend analysis of Teleflex Incorporated's Operating ROA from 2020 to 2024 reveals fluctuations in the company's operating efficiency.
- In 2020, Teleflex's Operating ROA was 5.91%, showing the company generated $0.0591 in operating income for every dollar of assets.
- By 2021, the Operating ROA improved significantly to 9.14%, reflecting better utilization of assets to generate operating profits.
- In 2022, the Operating ROA decreased to 7.21%, indicating a slight dip in operational efficiency compared to the previous year.
- The trend continued in 2023, with the Operating ROA further declining to 6.72%, suggesting potential challenges in maintaining profitability relative to assets.
- Notably, in 2024, Teleflex's Operating ROA dropped significantly to 2.13%, signaling a substantial decrease in operating efficiency during that year.
Overall, Teleflex's Operating ROA experienced fluctuations during the period under review, suggesting variations in the company's ability to generate operating income relative to its asset base. It is essential for stakeholders to closely monitor these changes to assess the company's operational performance and asset utilization efficiency over time.
Peer comparison
Dec 31, 2024