Analysis of Profitability Ratios
Quarterly Data
Profitability ratios measure the company ability to generate profitable sales from its resources (assets).
Profitability Ratios (Summary)
Raytheon Co., profitability ratios (quarterly data)
Based on: 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-29), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-07-01), 10-Q (reporting date: 2018-04-01), 10-K (reporting date: 2017-12-31), 10-Q (reporting date: 2017-10-01), 10-Q (reporting date: 2017-07-02), 10-Q (reporting date: 2017-04-02), 10-K (reporting date: 2016-12-31), 10-Q (reporting date: 2016-10-02), 10-Q (reporting date: 2016-07-03), 10-Q (reporting date: 2016-04-03).
- Gross Profit Margin
- The gross profit margin demonstrated a steady upward trend from April 2016 through December 2018, increasing from 23.53% to a peak of 27.66%. After this peak, a slight decline was observed in 2019, with the margin decreasing gradually to 26.61% by the end of December 2019. Overall, the margin showed consistent improvement over the period, indicating enhanced efficiency in managing production costs relative to revenue.
- Operating Profit Margin
- The operating profit margin exhibited a continuous increase from 11.74% in April 2016 to 16.77% in December 2018, reflecting improved operational efficiency or cost management over this period. After reaching the peak, the margin stabilized with minor fluctuations, ending at 16.36% in December 2019. This suggests a relatively strong and stable operating performance towards the end of the observed timeframe.
- Net Profit Margin
- Net profit margin showed an overall positive trend, starting at 8.23% in April 2016 and rising to 10.75% by December 2018. The margin further increased in 2019, reaching 11.47% by September, and maintained this level through December 2019. This upward movement indicates improving profitability after accounting for all expenses, taxes, and other costs, signifying effective cost control and potentially lower non-operating expenses or improved tax management.
- Return on Equity (ROE)
- The return on equity experienced growth from 19.28% in April 2016 to 25.36% in December 2018, a strong indicator of increasingly effective utilization of shareholders' equity to generate profits. Despite some fluctuations during 2017 and early 2018, the overall trajectory remained positive with a significant peak of 27.35% at the end of 2019, reflecting enhanced profitability and potentially effective leverage or capital structure management.
- Return on Assets (ROA)
- Return on assets followed a generally positive trend, rising from 6.77% in April 2016 to 9.13% at the end of 2018. This was followed by a further increase in 2019, peaking at 10.03% in September before a slight decline to 9.67% in December 2019. The increase over the period suggests improved efficiency in asset utilization to generate net income, despite modest volatility in the latter part of the period.
Return on Sales
Return on Investment
Gross Profit Margin
Raytheon Co., gross profit margin calculation (quarterly data)
| Dec 31, 2019 | Sep 29, 2019 | Jun 30, 2019 | Mar 31, 2019 | Dec 31, 2018 | Sep 30, 2018 | Jul 1, 2018 | Apr 1, 2018 | Dec 31, 2017 | Oct 1, 2017 | Jul 2, 2017 | Apr 2, 2017 | Dec 31, 2016 | Oct 2, 2016 | Jul 3, 2016 | Apr 3, 2016 | ||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||
| Gross margin | 2,010) | 1,947) | 1,954) | 1,852) | 1,967) | 1,935) | 1,848) | 1,735) | 1,612) | 1,594) | 1,596) | 1,470) | 1,583) | 1,521) | 1,655) | 1,363) | |||||
| Net sales | 7,842) | 7,446) | 7,159) | 6,729) | 7,360) | 6,806) | 6,625) | 6,267) | 6,783) | 6,284) | 6,281) | 6,000) | 6,238) | 6,033) | 6,035) | 5,763) | |||||
| Profitability Ratio | |||||||||||||||||||||
| Gross profit margin1 | 26.61% | 26.90% | 27.48% | 27.62% | 27.66% | 26.92% | 26.15% | 25.52% | 24.74% | 25.17% | 25.13% | 25.63% | 25.44% | 25.08% | 24.73% | 23.53% | |||||
| Benchmarks | |||||||||||||||||||||
| Gross Profit Margin, Competitors2 | |||||||||||||||||||||
| Boeing Co. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||
| Caterpillar Inc. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||
| Eaton Corp. plc | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||
| GE Aerospace | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||
| Honeywell International Inc. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||
| Lockheed Martin Corp. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||
| RTX Corp. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||
Based on: 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-29), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-07-01), 10-Q (reporting date: 2018-04-01), 10-K (reporting date: 2017-12-31), 10-Q (reporting date: 2017-10-01), 10-Q (reporting date: 2017-07-02), 10-Q (reporting date: 2017-04-02), 10-K (reporting date: 2016-12-31), 10-Q (reporting date: 2016-10-02), 10-Q (reporting date: 2016-07-03), 10-Q (reporting date: 2016-04-03).
1 Q4 2019 Calculation
Gross profit margin = 100
× (Gross marginQ4 2019
+ Gross marginQ3 2019
+ Gross marginQ2 2019
+ Gross marginQ1 2019)
÷ (Net salesQ4 2019
+ Net salesQ3 2019
+ Net salesQ2 2019
+ Net salesQ1 2019)
= 100 × (2,010 + 1,947 + 1,954 + 1,852)
÷ (7,842 + 7,446 + 7,159 + 6,729)
= 26.61%
2 Click competitor name to see calculations.
The analyzed financial data reveals several notable trends in the company's quarterly performance over the examined periods.
- Net Sales
- Net sales exhibit a generally upward trajectory throughout the quarters, increasing from 5,763 million USD in the second quarter of 2016 to 7,842 million USD by the last quarter of 2019. Despite some fluctuations, sales growth appears consistent, with particularly strong increases observed during the final two quarters of 2018 and throughout 2019, indicating sustained demand or successful sales strategies.
- Gross Margin
- The gross margin in absolute terms also reflects an overall positive trend, growing from 1,363 million USD in Q2 2016 to 2,010 million USD in Q4 2019. This growth supports the increase in net sales and points to effective management of production or service delivery costs relative to sales volume. The gross margin values tend to rise steadily, though periodic modest dips occur, likely reflecting seasonality or short-term cost pressures.
- Gross Profit Margin Percentage
- The gross profit margin percentage shows a gradual increase from around 23.53% in Q2 2016 to peaks exceeding 27% in several quarters of 2018 and 2019, with the highest reached at 27.66% in Q4 2018. This trend suggests improving profitability and efficiency as a higher proportion of sales revenue is retained after covering direct costs. Later quarters in 2019 show a slight decrease but remain near the upper range, indicating stable margin management despite growing sales volumes.
Overall, the data indicates robust growth in sales accompanied by improvements in profitability margins over the examined period. The company appears to be effectively scaling its operations while maintaining or enhancing cost control, leading to increased gross profits both in absolute and relative terms. Minor fluctuations observed are typical in quarterly financial cycles and do not detract from the positive long-term trend.
Operating Profit Margin
Raytheon Co., operating profit margin calculation (quarterly data)
| Dec 31, 2019 | Sep 29, 2019 | Jun 30, 2019 | Mar 31, 2019 | Dec 31, 2018 | Sep 30, 2018 | Jul 1, 2018 | Apr 1, 2018 | Dec 31, 2017 | Oct 1, 2017 | Jul 2, 2017 | Apr 2, 2017 | Dec 31, 2016 | Oct 2, 2016 | Jul 3, 2016 | Apr 3, 2016 | ||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||
| Operating income | 1,279) | 1,206) | 1,176) | 1,113) | 1,214) | 1,183) | 1,100) | 1,041) | 870) | 858) | 849) | 741) | 862) | 806) | 960) | 612) | |||||
| Net sales | 7,842) | 7,446) | 7,159) | 6,729) | 7,360) | 6,806) | 6,625) | 6,267) | 6,783) | 6,284) | 6,281) | 6,000) | 6,238) | 6,033) | 6,035) | 5,763) | |||||
| Profitability Ratio | |||||||||||||||||||||
| Operating profit margin1 | 16.36% | 16.41% | 16.70% | 16.75% | 16.77% | 15.84% | 14.90% | 14.12% | 13.09% | 13.35% | 13.27% | 13.86% | 13.46% | 13.27% | 12.95% | 11.74% | |||||
| Benchmarks | |||||||||||||||||||||
| Operating Profit Margin, Competitors2 | |||||||||||||||||||||
| Boeing Co. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||
| Caterpillar Inc. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||
| Eaton Corp. plc | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||
| GE Aerospace | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||
| Honeywell International Inc. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||
| Lockheed Martin Corp. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||
| RTX Corp. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||
Based on: 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-29), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-07-01), 10-Q (reporting date: 2018-04-01), 10-K (reporting date: 2017-12-31), 10-Q (reporting date: 2017-10-01), 10-Q (reporting date: 2017-07-02), 10-Q (reporting date: 2017-04-02), 10-K (reporting date: 2016-12-31), 10-Q (reporting date: 2016-10-02), 10-Q (reporting date: 2016-07-03), 10-Q (reporting date: 2016-04-03).
1 Q4 2019 Calculation
Operating profit margin = 100
× (Operating incomeQ4 2019
+ Operating incomeQ3 2019
+ Operating incomeQ2 2019
+ Operating incomeQ1 2019)
÷ (Net salesQ4 2019
+ Net salesQ3 2019
+ Net salesQ2 2019
+ Net salesQ1 2019)
= 100 × (1,279 + 1,206 + 1,176 + 1,113)
÷ (7,842 + 7,446 + 7,159 + 6,729)
= 16.36%
2 Click competitor name to see calculations.
The financial data reveals several notable trends in the operating performance over the observed eight-quarter period from April 2016 to December 2019.
- Operating Income
- Operating income shows an overall upward trajectory throughout the period. Starting at 612 million US dollars in April 2016, there is a general pattern of increase with some fluctuations. The lowest values occur in the first quarter, and a marked increase is evident between early 2018 and the end of 2019, reaching a peak of 1,279 million US dollars in December 2019. This indicates improving profitability from operational activities over time.
- Net Sales
- Net sales exhibit a steady growth trend across the quarters, beginning at 5,763 million US dollars and progressing to 7,842 million US dollars by December 2019. While there are periods of slight variability, sales generally rise in alignment with operating income, demonstrating the company’s ability to expand revenue generation consistently over the observed duration.
- Operating Profit Margin
- The operating profit margin shows a stable and positive increase from 11.74% in early 2016 to a high of 16.77% at the end of 2018, followed by a modest plateauing in 2019 with margins ranging between 16.36% and 16.75%. This suggests improving operational efficiency and profitability relative to sales, reflecting enhanced cost control or better pricing strategies contributing to the company's earnings.
Overall, these figures indicate sustained growth in both revenue and profitability, with operational efficiency improving over the examined periods. The alignment of rising net sales and operating income, coupled with increasing profit margins, highlights a strengthening financial performance reflecting positively on the company’s operational management and market position.
Net Profit Margin
Raytheon Co., net profit margin calculation (quarterly data)
| Dec 31, 2019 | Sep 29, 2019 | Jun 30, 2019 | Mar 31, 2019 | Dec 31, 2018 | Sep 30, 2018 | Jul 1, 2018 | Apr 1, 2018 | Dec 31, 2017 | Oct 1, 2017 | Jul 2, 2017 | Apr 2, 2017 | Dec 31, 2016 | Oct 2, 2016 | Jul 3, 2016 | Apr 3, 2016 | ||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||
| Net income attributable to Raytheon Company | 885) | 860) | 817) | 781) | 832) | 644) | 800) | 633) | 393) | 572) | 553) | 506) | 544) | 529) | 709) | 429) | |||||
| Net sales | 7,842) | 7,446) | 7,159) | 6,729) | 7,360) | 6,806) | 6,625) | 6,267) | 6,783) | 6,284) | 6,281) | 6,000) | 6,238) | 6,033) | 6,035) | 5,763) | |||||
| Profitability Ratio | |||||||||||||||||||||
| Net profit margin1 | 11.46% | 11.47% | 10.96% | 11.11% | 10.75% | 9.33% | 9.24% | 8.40% | 7.98% | 8.77% | 8.68% | 9.41% | 9.19% | 9.26% | 9.02% | 8.23% | |||||
| Benchmarks | |||||||||||||||||||||
| Net Profit Margin, Competitors2 | |||||||||||||||||||||
| Boeing Co. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||
| Caterpillar Inc. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||
| Eaton Corp. plc | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||
| GE Aerospace | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||
| Honeywell International Inc. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||
| Lockheed Martin Corp. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||
| RTX Corp. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||
Based on: 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-29), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-07-01), 10-Q (reporting date: 2018-04-01), 10-K (reporting date: 2017-12-31), 10-Q (reporting date: 2017-10-01), 10-Q (reporting date: 2017-07-02), 10-Q (reporting date: 2017-04-02), 10-K (reporting date: 2016-12-31), 10-Q (reporting date: 2016-10-02), 10-Q (reporting date: 2016-07-03), 10-Q (reporting date: 2016-04-03).
1 Q4 2019 Calculation
Net profit margin = 100
× (Net income attributable to Raytheon CompanyQ4 2019
+ Net income attributable to Raytheon CompanyQ3 2019
+ Net income attributable to Raytheon CompanyQ2 2019
+ Net income attributable to Raytheon CompanyQ1 2019)
÷ (Net salesQ4 2019
+ Net salesQ3 2019
+ Net salesQ2 2019
+ Net salesQ1 2019)
= 100 × (885 + 860 + 817 + 781)
÷ (7,842 + 7,446 + 7,159 + 6,729)
= 11.46%
2 Click competitor name to see calculations.
The financial performance over the observed quarters demonstrates several noteworthy trends in net income, net sales, and net profit margin.
- Net Income Attributable to Raytheon Company (US$ in millions)
-
The net income exhibits a generally upward trajectory over the entire period. Starting at 429 million in early 2016, it rises to 885 million by the end of 2019. There are occasional fluctuations, such as a decrease to 393 million during the fourth quarter of 2017, but the overall trend is positive, indicating improving profitability.
- Net Sales (US$ in millions)
-
Net sales show an incremental growth pattern across the quarters. Beginning at 5,763 million in the first quarter of 2016, they increase steadily to reach 7,842 million by the fourth quarter of 2019. The growth is consistent, with occasional seasonal or quarterly fluctuations, but no significant declines over the period.
- Net Profit Margin (%)
-
The net profit margin percentage demonstrates a gradual but notable increase over time. Starting at 8.23% in early 2016, it peaks around the fourth quarter of 2018 and thereafter, maintaining levels above 11% in the last two quarters of 2019. This suggests enhanced operational efficiency or improved cost management leading to higher profitability relative to sales.
In summary, the financial data reflects positive trends in both absolute profitability and efficiency metrics. The consistent growth in net sales accompanied by rising net income and improving profit margins indicates a strengthening financial position over the analyzed period.
Return on Equity (ROE)
Raytheon Co., ROE calculation (quarterly data)
| Dec 31, 2019 | Sep 29, 2019 | Jun 30, 2019 | Mar 31, 2019 | Dec 31, 2018 | Sep 30, 2018 | Jul 1, 2018 | Apr 1, 2018 | Dec 31, 2017 | Oct 1, 2017 | Jul 2, 2017 | Apr 2, 2017 | Dec 31, 2016 | Oct 2, 2016 | Jul 3, 2016 | Apr 3, 2016 | ||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||
| Net income attributable to Raytheon Company | 885) | 860) | 817) | 781) | 832) | 644) | 800) | 633) | 393) | 572) | 553) | 506) | 544) | 529) | 709) | 429) | |||||
| Total Raytheon Company stockholders’ equity | 12,223) | 12,982) | 12,204) | 11,708) | 11,472) | 11,310) | 10,607) | 10,237) | 9,963) | 10,857) | 10,815) | 10,384) | 10,066) | 10,467) | 10,316) | 10,124) | |||||
| Profitability Ratio | |||||||||||||||||||||
| ROE1 | 27.35% | 25.34% | 25.19% | 26.11% | 25.36% | 21.84% | 22.61% | 21.01% | 20.32% | 20.03% | 19.71% | 22.03% | 21.97% | 21.38% | 20.90% | 19.28% | |||||
| Benchmarks | |||||||||||||||||||||
| ROE, Competitors2 | |||||||||||||||||||||
| Boeing Co. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||
| Caterpillar Inc. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||
| Eaton Corp. plc | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||
| GE Aerospace | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||
| Honeywell International Inc. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||
| Lockheed Martin Corp. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||
| RTX Corp. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||
Based on: 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-29), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-07-01), 10-Q (reporting date: 2018-04-01), 10-K (reporting date: 2017-12-31), 10-Q (reporting date: 2017-10-01), 10-Q (reporting date: 2017-07-02), 10-Q (reporting date: 2017-04-02), 10-K (reporting date: 2016-12-31), 10-Q (reporting date: 2016-10-02), 10-Q (reporting date: 2016-07-03), 10-Q (reporting date: 2016-04-03).
1 Q4 2019 Calculation
ROE = 100
× (Net income attributable to Raytheon CompanyQ4 2019
+ Net income attributable to Raytheon CompanyQ3 2019
+ Net income attributable to Raytheon CompanyQ2 2019
+ Net income attributable to Raytheon CompanyQ1 2019)
÷ Total Raytheon Company stockholders’ equity
= 100 × (885 + 860 + 817 + 781)
÷ 12,223 = 27.35%
2 Click competitor name to see calculations.
The analysis of the quarterly financial data reveals several notable trends and patterns in the company's performance over the observed periods.
- Net Income Attributable to Raytheon Company
- The net income figures display variability across quarters, with some fluctuations but an overall upward trend from 429 million US dollars in early April 2016 to 885 million US dollars by the end of December 2019. There are intermittent declines, such as the drop to 393 million in the last quarter of 2017, but the net income generally recovers and exceeds previous levels thereafter.
- Total Stockholders’ Equity
- The total stockholders’ equity shows gradual growth over the period, increasing from approximately 10.1 billion US dollars in early 2016 to about 12.2 billion US dollars towards the end of 2019. Some quarters experience slight decreases, for example at the end of 2017 and December 2019, but the overarching trend is positive, indicating strengthened equity capital.
- Return on Equity (ROE)
- The return on equity demonstrates overall enhancement in profitability relative to equity. Initially commencing around 19.28% in early 2016, ROE increases steadily to 27.35% by December 2019. The ratio remains predominantly above 20% after mid-2016, with occasional peaks, notably surpassing 25% in several quarters from late 2018 onward. This suggests improved efficiency in generating profits from shareholders’ investments over time.
In summary, the data exhibits a general positive trajectory in financial performance metrics, characterized by an increasing net income, growing stockholders’ equity, and rising return on equity. Despite some quarterly fluctuations, these indicators collectively signal strengthening financial health and enhanced profitability efficiency over the nearly four-year period.
Return on Assets (ROA)
Raytheon Co., ROA calculation (quarterly data)
| Dec 31, 2019 | Sep 29, 2019 | Jun 30, 2019 | Mar 31, 2019 | Dec 31, 2018 | Sep 30, 2018 | Jul 1, 2018 | Apr 1, 2018 | Dec 31, 2017 | Oct 1, 2017 | Jul 2, 2017 | Apr 2, 2017 | Dec 31, 2016 | Oct 2, 2016 | Jul 3, 2016 | Apr 3, 2016 | ||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||
| Net income attributable to Raytheon Company | 885) | 860) | 817) | 781) | 832) | 644) | 800) | 633) | 393) | 572) | 553) | 506) | 544) | 529) | 709) | 429) | |||||
| Total assets | 34,566) | 32,817) | 33,186) | 31,576) | 31,864) | 30,134) | 30,738) | 30,497) | 30,860) | 30,278) | 30,229) | 29,869) | 30,052) | 29,452) | 29,098) | 28,829) | |||||
| Profitability Ratio | |||||||||||||||||||||
| ROA1 | 9.67% | 10.03% | 9.26% | 9.68% | 9.13% | 8.20% | 7.80% | 7.05% | 6.56% | 7.18% | 7.05% | 7.66% | 7.36% | 7.60% | 7.41% | 6.77% | |||||
| Benchmarks | |||||||||||||||||||||
| ROA, Competitors2 | |||||||||||||||||||||
| Boeing Co. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||
| Caterpillar Inc. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||
| Eaton Corp. plc | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||
| GE Aerospace | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||
| Honeywell International Inc. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||
| Lockheed Martin Corp. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||
| RTX Corp. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||
Based on: 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-29), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-07-01), 10-Q (reporting date: 2018-04-01), 10-K (reporting date: 2017-12-31), 10-Q (reporting date: 2017-10-01), 10-Q (reporting date: 2017-07-02), 10-Q (reporting date: 2017-04-02), 10-K (reporting date: 2016-12-31), 10-Q (reporting date: 2016-10-02), 10-Q (reporting date: 2016-07-03), 10-Q (reporting date: 2016-04-03).
1 Q4 2019 Calculation
ROA = 100
× (Net income attributable to Raytheon CompanyQ4 2019
+ Net income attributable to Raytheon CompanyQ3 2019
+ Net income attributable to Raytheon CompanyQ2 2019
+ Net income attributable to Raytheon CompanyQ1 2019)
÷ Total assets
= 100 × (885 + 860 + 817 + 781)
÷ 34,566 = 9.67%
2 Click competitor name to see calculations.
The financial data reveals a number of key trends for the company over the examined periods.
- Net Income Attributable to the Company
- The net income values demonstrate a generally upward trend with some fluctuations. Starting at US$429 million in early 2016, net income increased notably through mid-2016, reaching 709 million, followed by a drop to 393 million by the end of 2017. Subsequently, the net income rose steadily again, achieving its peak near the end of 2019 at US$885 million. This pattern suggests periods of volatility interspersed with sustained growth.
- Total Assets
- The total assets showed gradual growth over the span of the data. Beginning at US$28.8 billion in early 2016, the asset base expanded modestly over time with occasional small declines. By the end of 2019, total assets reached approximately US$34.6 billion. The increasing asset trend indicates ongoing investment and expansion efforts.
- Return on Assets (ROA)
- ROA values generally improved during the period. Starting near 6.77% in early 2016, the return on assets moved upward, achieving consistent improvements and peaking at about 10.03% in the third quarter of 2019. Although there was some slight decline toward the end of 2019, ROA remained significantly higher than the initial level. This improvement reflects enhanced efficiency in utilizing assets to generate earnings.
Overall, the data suggests that while net income experienced some volatility in the middle of the period, the company managed to increase profitability and asset efficiency substantially by the end of the timeframe. The steady growth in total assets alongside rising ROA indicates a positive trend in the financial health and operational effectiveness.