Zimmer Biomet Holdings Inc (ZBH)
Return on assets (ROA)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 903,800 | 1,024,000 | 231,400 | 401,600 | -138,900 |
| Total assets | US$ in thousands | 21,365,300 | 21,496,900 | 21,066,000 | 23,456,400 | 24,417,700 |
| ROA | 4.23% | 4.76% | 1.10% | 1.71% | -0.57% |
December 31, 2024 calculation
ROA = Net income ÷ Total assets
= $903,800K ÷ $21,365,300K
= 4.23%
Based on the data provided, Zimmer Biomet Holdings Inc's return on assets (ROA) has shown a fluctuating trend over the past five years.
- As of December 31, 2020, the ROA was negative at -0.57%, indicating that the company's assets did not generate a positive return during that period.
- By December 31, 2021, the ROA improved significantly to 1.71%, suggesting that the company's assets were more effectively utilized to generate a positive return.
- However, there was a slight decrease in ROA by December 31, 2022, to 1.10%, indicating a slight dip in the company's asset efficiency in generating profits.
- By December 31, 2023, the ROA increased significantly to 4.76%, demonstrating a substantial improvement in asset utilization and profitability.
- The ROA remained relatively stable at 4.23% by December 31, 2024, indicating that the company continued to efficiently generate profits relative to its assets during that period.
Overall, Zimmer Biomet Holdings Inc's ROA has shown variability over the five-year period, with notable improvements in certain years. It is important for investors and stakeholders to monitor ROA trends to assess the company's ability to generate profits from its assets effectively.
Peer comparison
Dec 31, 2024