Zebra Technologies Corporation (ZBRA)

Return on assets (ROA)

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Net income US$ in thousands 528,000 296,000 463,000 837,000 504,000
Total assets US$ in thousands 7,968,000 7,306,000 7,529,000 6,215,000 5,375,000
ROA 6.63% 4.05% 6.15% 13.47% 9.38%

December 31, 2024 calculation

ROA = Net income ÷ Total assets
= $528,000K ÷ $7,968,000K
= 6.63%

Based on the data provided for Zebra Technologies Corporation's Return on Assets (ROA) from 2020 to 2024, we observe fluctuations in the company's performance in utilizing its assets to generate profits.

- In 2020, Zebra Technologies Corporation had an ROA of 9.38%, indicating that the company generated 9.38 cents of profit for every dollar of assets it owned.

- The ROA improved significantly in 2021, reaching 13.47%, suggesting that the company became more efficient in utilizing its assets to generate profits, with a 4.09% increase from the previous year.

- However, in 2022, the ROA dropped to 6.15%, which could indicate a reduction in the company's profitability relative to its total assets or a possible decrease in asset efficiency.

- This downward trend continued in 2023, with the ROA decreasing further to 4.05%, signaling a decline in the company's ability to generate profits from its assets.

- The ROA saw a slight improvement in 2024, rising to 6.63%, yet still lower compared to the peak in 2021.

Overall, the fluctuating trend in Zebra Technologies Corporation's ROA suggests varying degrees of asset utilization efficiency and profitability over the years, highlighting potential shifts in the company's operational performance and financial health. It would be essential for stakeholders to monitor this metric closely to assess the company's ability to generate returns from its asset base effectively.