Return on Assets (ROA)
since 2005
Calculation
Motorola Solutions Inc., ROA, long-term trends, calculation
| ROA | = | 100 | × | Net earnings (loss) attributable to Motorola Solutions, Inc.1 | ÷ | Total assets1 | |
|---|---|---|---|---|---|---|---|
| Dec 31, 2023 | 12.81% | = | 100 | × | 1,709) | ÷ | 13,336) |
| Dec 31, 2022 | 10.64% | = | 100 | × | 1,363) | ÷ | 12,814) |
| Dec 31, 2021 | 10.21% | = | 100 | × | 1,245) | ÷ | 12,189) |
| Dec 31, 2020 | 8.73% | = | 100 | × | 949) | ÷ | 10,876) |
| Dec 31, 2019 | 8.16% | = | 100 | × | 868) | ÷ | 10,642) |
| Dec 31, 2018 | 10.27% | = | 100 | × | 966) | ÷ | 9,409) |
| Dec 31, 2017 | -1.89% | = | 100 | × | (155) | ÷ | 8,208) |
| Dec 31, 2016 | 6.62% | = | 100 | × | 560) | ÷ | 8,463) |
| Dec 31, 2015 | 7.27% | = | 100 | × | 610) | ÷ | 8,387) |
| Dec 31, 2014 | 12.46% | = | 100 | × | 1,299) | ÷ | 10,423) |
| Dec 31, 2013 | 9.27% | = | 100 | × | 1,099) | ÷ | 11,851) |
| Dec 31, 2012 | 6.95% | = | 100 | × | 881) | ÷ | 12,679) |
| Dec 31, 2011 | 8.31% | = | 100 | × | 1,158) | ÷ | 13,929) |
| Dec 31, 2010 | 2.47% | = | 100 | × | 633) | ÷ | 25,577) |
| Dec 31, 2009 | -0.20% | = | 100 | × | (51) | ÷ | 25,603) |
| Dec 31, 2008 | -15.23% | = | 100 | × | (4,244) | ÷ | 27,869) |
| Dec 31, 2007 | -0.14% | = | 100 | × | (49) | ÷ | 34,812) |
| Dec 31, 2006 | 9.49% | = | 100 | × | 3,661) | ÷ | 38,593) |
| Dec 31, 2005 | 12.84% | = | 100 | × | 4,578) | ÷ | 35,649) |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
1 US$ in millions
The Return on Assets (ROA) for Motorola Solutions Inc. exhibited significant volatility between 2005 and 2023, characterized by a severe contraction during the late 2000s, a period of asset rationalization throughout the 2010s, and a consistent recovery leading into the early 2020s.
- Period of Volatility and Financial Distress (2005–2009)
- A sharp decline in profitability is observed starting in 2007, culminating in a significant deficit in 2008. The ROA plummeted from 9.49% in 2006 to a low of -15.23% in 2008, corresponding with a net loss of 4,244 million US dollars. This period represents the most significant erosion of asset efficiency in the analyzed timeframe.
- Asset Rationalization and Recovery (2010–2017)
- A recovery phase began in 2010 as ROA returned to positive territory. A notable trend during this period is the aggressive reduction of the total asset base, which decreased from 25,577 million US dollars in 2010 to 8,208 million US dollars by 2016. This contraction in assets contributed to a temporary peak in ROA of 12.46% in 2014. However, performance remained inconsistent, as evidenced by a brief dip to -1.89% in 2017.
- Sustainable Growth and Efficiency Gains (2018–2023)
- The most recent period shows a steady and sustainable improvement in asset utilization. ROA climbed from 10.27% in 2018 to 12.81% by 2023. This growth was driven by a consistent increase in net earnings, which rose from 966 million US dollars in 2018 to 1,709 million US dollars in 2023. Unlike the previous recovery phase, this improvement occurred while the total asset base was moderately expanding, increasing from 9,409 million US dollars to 13,336 million US dollars, indicating that earnings growth outpaced asset accumulation.
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Comparison to Competitors
Motorola Solutions Inc., ROA, long-term trends, comparison to competitors
| Motorola Solutions Inc. | Apple Inc. | Arista Networks Inc. | Cisco Systems Inc. | Dell Technologies Inc. | Lumentum Holdings Inc. | Super Micro Computer Inc. | |
|---|---|---|---|---|---|---|---|
| Dec 31, 2023 | 12.81% | 27.51% | 20.98% | 12.38% | 2.73% | -2.84% | 17.42% |
| Dec 31, 2022 | 10.64% | 28.29% | 19.96% | 12.57% | 6.00% | 4.78% | 8.90% |
| Dec 31, 2021 | 10.21% | 26.97% | 14.66% | 10.86% | 2.63% | 11.19% | 4.99% |
| Dec 31, 2020 | 8.73% | 17.73% | 13.39% | 11.82% | 3.88% | 4.12% | 4.39% |
| Dec 31, 2019 | 8.16% | 16.32% | 20.54% | 11.88% | -2.07% | -1.34% | 4.27% |
| Dec 31, 2018 | 10.27% | 16.28% | 10.65% | 0.10% | — | 15.69% | 2.61% |
| Dec 31, 2017 | -1.89% | 12.88% | 17.20% | 7.40% | — | -8.31% | 4.41% |
| Dec 31, 2016 | 6.62% | 14.20% | 10.65% | 8.83% | — | 1.28% | 6.18% |
| Dec 31, 2015 | 7.27% | 18.38% | 10.44% | 7.91% | — | -0.66% | 9.35% |
| Dec 31, 2014 | 12.46% | 17.04% | 10.71% | 7.47% | — | — | 6.80% |
| Dec 31, 2013 | 9.27% | 17.89% | — | 9.87% | — | — | 3.37% |
| Dec 31, 2012 | 6.95% | 23.70% | — | 8.76% | — | — | 5.07% |
| Dec 31, 2011 | 8.31% | 22.28% | — | 7.45% | — | — | 8.66% |
| Dec 31, 2010 | 2.47% | 18.64% | — | 9.57% | — | — | 7.26% |
| Dec 31, 2009 | -0.20% | 10.59% | — | 9.00% | — | — | 5.69% |
| Dec 31, 2008 | -15.23% | 12.22% | — | 13.71% | — | — | 9.61% |
| Dec 31, 2007 | -0.14% | 13.79% | — | 13.75% | — | — | 9.41% |
| Dec 31, 2006 | 9.49% | 11.56% | — | 12.88% | — | — | — |
| Dec 31, 2005 | 12.84% | 11.56% | — | 16.94% | — | — | — |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
Comparison to Sector (Technology Hardware & Equipment)
Motorola Solutions Inc., ROA, long-term trends, comparison to sector (technology hardware & equipment)
| Motorola Solutions Inc. | Technology Hardware & Equipment | |
|---|---|---|
| Dec 31, 2023 | 12.81% | 20.39% |
| Dec 31, 2022 | 10.64% | 21.50% |
| Dec 31, 2021 | 10.21% | 18.83% |
| Dec 31, 2020 | 8.73% | 13.53% |
| Dec 31, 2019 | 8.16% | 11.76% |
| Dec 31, 2018 | 10.27% | 12.53% |
| Dec 31, 2017 | -1.89% | 11.43% |
| Dec 31, 2016 | 6.62% | 12.68% |
| Dec 31, 2015 | 7.27% | 15.39% |
| Dec 31, 2014 | 12.46% | 14.03% |
| Dec 31, 2013 | 9.27% | 15.23% |
| Dec 31, 2012 | 6.95% | 18.55% |
| Dec 31, 2011 | 8.31% | 15.91% |
| Dec 31, 2010 | 2.47% | 13.92% |
| Dec 31, 2009 | -0.20% | 9.70% |
| Dec 31, 2008 | -15.23% | 13.10% |
| Dec 31, 2007 | -0.14% | 13.75% |
| Dec 31, 2006 | 9.49% | 12.51% |
| Dec 31, 2005 | 12.84% | 15.57% |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
Comparison to Industry (Information Technology)
Motorola Solutions Inc., ROA, long-term trends, comparison to industry (information technology)
| Motorola Solutions Inc. | Information Technology | |
|---|---|---|
| Dec 31, 2023 | 12.81% | 12.34% |
| Dec 31, 2022 | 10.64% | 14.33% |
| Dec 31, 2021 | 10.21% | 14.52% |
| Dec 31, 2020 | 8.73% | 11.46% |
| Dec 31, 2019 | 8.16% | 11.67% |
| Dec 31, 2018 | 10.27% | 10.94% |
| Dec 31, 2017 | -1.89% | 9.00% |
| Dec 31, 2016 | 6.62% | 9.68% |
| Dec 31, 2015 | 7.27% | 11.51% |
| Dec 31, 2014 | 12.46% | 12.33% |
| Dec 31, 2013 | 9.27% | 13.22% |
| Dec 31, 2012 | 6.95% | 14.06% |
| Dec 31, 2011 | 8.31% | 15.11% |
| Dec 31, 2010 | 2.47% | 14.45% |
| Dec 31, 2009 | -0.20% | 10.04% |
| Dec 31, 2008 | -15.23% | 11.87% |
| Dec 31, 2007 | -0.14% | 11.93% |
| Dec 31, 2006 | 9.49% | 12.20% |
| Dec 31, 2005 | 12.84% | 12.71% |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).