Trane Technologies plc (TT)
Return on assets (ROA)
| Dec 31, 2024 | Sep 30, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | 2,567,900 | 2,467,900 | 2,322,200 | 2,153,100 | 2,023,900 | 1,958,700 | 1,880,300 | 1,803,400 | 1,756,500 | 1,635,200 | 1,493,000 | 1,448,400 | 1,423,400 | 1,350,300 | 1,345,200 | 1,119,300 | 854,900 | 906,300 | 964,500 | 1,181,800 |
| Total assets | US$ in thousands | 20,146,700 | 20,903,700 | 20,199,200 | 19,341,200 | 19,391,900 | 18,903,200 | 18,906,500 | 17,897,400 | 18,081,600 | 17,739,800 | 17,680,800 | 17,636,900 | 18,059,800 | 18,202,200 | 18,369,400 | 17,824,800 | 18,156,700 | 17,939,400 | 17,223,600 | 17,635,600 |
| ROA | 12.75% | 11.81% | 11.50% | 11.13% | 10.44% | 10.36% | 9.95% | 10.08% | 9.71% | 9.22% | 8.44% | 8.21% | 7.88% | 7.42% | 7.32% | 6.28% | 4.71% | 5.05% | 5.60% | 6.70% |
December 31, 2024 calculation
ROA = Net income (ttm) ÷ Total assets
= $2,567,900K ÷ $20,146,700K
= 12.75%
Trane Technologies plc's return on assets (ROA) has been showing a positive trend over the past few quarters, indicating improving efficiency in utilizing its assets to generate profits. The ROA increased from 6.70% as of March 31, 2020, to 12.75% as of December 31, 2024. This suggests that Trane Technologies plc has been able to generate more income relative to its asset base.
The consistent upward trend in ROA reflects the company's ability to efficiently manage its assets and generate higher returns for its shareholders. A higher ROA indicates that the company is effectively utilizing its assets to generate profits, which can be a positive sign for investors and lenders.
Overall, the increasing trend in Trane Technologies plc's ROA demonstrates improving profitability and efficiency in utilizing its assets over the analyzed period. Investors and stakeholders may view this positively as it indicates the company's ability to generate higher returns from its asset base.
See also:
Trane Technologies plc Return on Assets (ROA) (Quarterly Data)