Stock Analysis on Net
Stock Analysis on Net

Thermo Fisher Scientific Inc. (NYSE:TMO)

DuPont Analysis: Disaggregation of ROE, ROA, and Net Profit Margin
Quarterly Data

Microsoft Excel

Decomposing ROE involves expressing net income divided by shareholders’ equity as the product of component ratios.

Two-Component Disaggregation of ROE

Thermo Fisher Scientific Inc., decomposition of ROE (quarterly data)

Microsoft Excel
ROE = ROA × Financial Leverage
Sep 28, 2024 12.52% = 6.11% × 2.05
Jun 29, 2024 13.12% = 6.32% × 2.08
Mar 30, 2024 13.26% = 6.21% × 2.13
Dec 31, 2023 12.83% = 6.07% × 2.11
Sep 30, 2023 13.11% = 6.12% × 2.14
Jul 1, 2023 13.08% = 6.08% × 2.15
Apr 1, 2023 14.26% = 6.36% × 2.24
Dec 31, 2022 15.80% = 7.15% × 2.21
Oct 1, 2022 16.15% = 7.77% × 2.08
Jul 2, 2022 17.59% = 8.21% × 2.14
Apr 2, 2022 18.56% = 8.20% × 2.26
Dec 31, 2021 18.94% = 8.12% × 2.33
Oct 2, 2021 22.13% = 11.64% × 1.90
Jul 3, 2021 23.32% = 12.70% × 1.84
Apr 3, 2021 22.60% = 12.02% × 1.88
Dec 31, 2020 18.47% = 9.23% × 2.00
Sep 26, 2020 15.33% = 7.62% × 2.01
Jun 27, 2020 12.41% = 6.02% × 2.06
Mar 28, 2020 12.85% = 6.25% × 2.05
Dec 31, 2019 12.45% = 6.33% × 1.97
Sep 28, 2019 — = — × 1.93
Jun 29, 2019 — = — × 2.02
Mar 30, 2019 — = — × 2.01

Based on: 10-Q (reporting date: 2024-09-28), 10-Q (reporting date: 2024-06-29), 10-Q (reporting date: 2024-03-30), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-07-01), 10-Q (reporting date: 2023-04-01), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-10-01), 10-Q (reporting date: 2022-07-02), 10-Q (reporting date: 2022-04-02), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-10-02), 10-Q (reporting date: 2021-07-03), 10-Q (reporting date: 2021-04-03), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-26), 10-Q (reporting date: 2020-06-27), 10-Q (reporting date: 2020-03-28), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-28), 10-Q (reporting date: 2019-06-29), 10-Q (reporting date: 2019-03-30).

The primary reason for the decrease in return on equity ratio (ROE) over Q3 2024 is the decrease in profitability measured by return on assets ratio (ROA).

Three-Component Disaggregation of ROE

Thermo Fisher Scientific Inc., decomposition of ROE (quarterly data)

Microsoft Excel
ROE = Net Profit Margin × Asset Turnover × Financial Leverage
Sep 28, 2024 12.52% = 14.48% × 0.42 × 2.05
Jun 29, 2024 13.12% = 14.69% × 0.43 × 2.08
Mar 30, 2024 13.26% = 14.20% × 0.44 × 2.13
Dec 31, 2023 12.83% = 13.99% × 0.43 × 2.11
Sep 30, 2023 13.11% = 13.68% × 0.45 × 2.14
Jul 1, 2023 13.08% = 13.14% × 0.46 × 2.15
Apr 1, 2023 14.26% = 13.75% × 0.46 × 2.24
Dec 31, 2022 15.80% = 15.47% × 0.46 × 2.21
Oct 1, 2022 16.15% = 15.92% × 0.49 × 2.08
Jul 2, 2022 17.59% = 17.37% × 0.47 × 2.14
Apr 2, 2022 18.56% = 18.49% × 0.44 × 2.26
Dec 31, 2021 18.94% = 19.70% × 0.41 × 2.33
Oct 2, 2021 22.13% = 21.93% × 0.53 × 1.90
Jul 3, 2021 23.32% = 22.47% × 0.57 × 1.84
Apr 3, 2021 22.60% = 22.08% × 0.54 × 1.88
Dec 31, 2020 18.47% = 19.79% × 0.47 × 2.00
Sep 26, 2020 15.33% = 17.12% × 0.44 × 2.01
Jun 27, 2020 12.41% = 14.12% × 0.43 × 2.06
Mar 28, 2020 12.85% = 14.31% × 0.44 × 2.05
Dec 31, 2019 12.45% = 14.47% × 0.44 × 1.97
Sep 28, 2019 — = — × — × 1.93
Jun 29, 2019 — = — × — × 2.02
Mar 30, 2019 — = — × — × 2.01

Based on: 10-Q (reporting date: 2024-09-28), 10-Q (reporting date: 2024-06-29), 10-Q (reporting date: 2024-03-30), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-07-01), 10-Q (reporting date: 2023-04-01), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-10-01), 10-Q (reporting date: 2022-07-02), 10-Q (reporting date: 2022-04-02), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-10-02), 10-Q (reporting date: 2021-07-03), 10-Q (reporting date: 2021-04-03), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-26), 10-Q (reporting date: 2020-06-27), 10-Q (reporting date: 2020-03-28), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-28), 10-Q (reporting date: 2019-06-29), 10-Q (reporting date: 2019-03-30).

The primary reason for the decrease in return on equity ratio (ROE) over Q3 2024 is the decrease in efficiency measured by asset turnover ratio.

Five-Component Disaggregation of ROE

Thermo Fisher Scientific Inc., decomposition of ROE (quarterly data)

Microsoft Excel
ROE = Tax Burden × Interest Burden × EBIT Margin × Asset Turnover × Financial Leverage
Sep 28, 2024 12.52% = 0.91 × 0.82 × 19.45% × 0.42 × 2.05
Jun 29, 2024 13.12% = 0.91 × 0.82 × 19.56% × 0.43 × 2.08
Mar 30, 2024 13.26% = 0.92 × 0.82 × 18.81% × 0.44 × 2.13
Dec 31, 2023 12.83% = 0.95 × 0.82 × 17.86% × 0.43 × 2.11
Sep 30, 2023 13.11% = 0.95 × 0.83 × 17.32% × 0.45 × 2.14
Jul 1, 2023 13.08% = 0.95 × 0.85 × 16.29% × 0.46 × 2.15
Apr 1, 2023 14.26% = 0.93 × 0.88 × 16.81% × 0.46 × 2.24
Dec 31, 2022 15.80% = 0.91 × 0.91 × 18.66% × 0.46 × 2.21
Oct 1, 2022 16.15% = 0.91 × 0.93 × 18.98% × 0.49 × 2.08
Jul 2, 2022 17.59% = 0.88 × 0.94 × 20.98% × 0.47 × 2.14
Apr 2, 2022 18.56% = 0.88 × 0.94 × 22.24% × 0.44 × 2.26
Dec 31, 2021 18.94% = 0.87 × 0.94 × 23.90% × 0.41 × 2.33
Oct 2, 2021 22.13% = 0.87 × 0.95 × 26.59% × 0.53 × 1.90
Jul 3, 2021 23.32% = 0.86 × 0.95 × 27.40% × 0.57 × 1.84
Apr 3, 2021 22.60% = 0.87 × 0.94 × 27.03% × 0.54 × 1.88
Dec 31, 2020 18.47% = 0.88 × 0.93 × 24.14% × 0.47 × 2.00
Sep 26, 2020 15.33% = 0.91 × 0.91 × 20.77% × 0.44 × 2.01
Jun 27, 2020 12.41% = 0.94 × 0.87 × 17.18% × 0.43 × 2.06
Mar 28, 2020 12.85% = 0.90 × 0.87 × 18.30% × 0.44 × 2.05
Dec 31, 2019 12.45% = 0.91 × 0.86 × 18.58% × 0.44 × 1.97
Sep 28, 2019 — = — × — × — × — × 1.93
Jun 29, 2019 — = — × — × — × — × 2.02
Mar 30, 2019 — = — × — × — × — × 2.01

Based on: 10-Q (reporting date: 2024-09-28), 10-Q (reporting date: 2024-06-29), 10-Q (reporting date: 2024-03-30), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-07-01), 10-Q (reporting date: 2023-04-01), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-10-01), 10-Q (reporting date: 2022-07-02), 10-Q (reporting date: 2022-04-02), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-10-02), 10-Q (reporting date: 2021-07-03), 10-Q (reporting date: 2021-04-03), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-26), 10-Q (reporting date: 2020-06-27), 10-Q (reporting date: 2020-03-28), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-28), 10-Q (reporting date: 2019-06-29), 10-Q (reporting date: 2019-03-30).

The primary reason for the decrease in return on equity ratio (ROE) over Q3 2024 is the decrease in efficiency measured by asset turnover ratio.

Two-Component Disaggregation of ROA

Thermo Fisher Scientific Inc., decomposition of ROA (quarterly data)

Microsoft Excel
ROA = Net Profit Margin × Asset Turnover
Sep 28, 2024 6.11% = 14.48% × 0.42
Jun 29, 2024 6.32% = 14.69% × 0.43
Mar 30, 2024 6.21% = 14.20% × 0.44
Dec 31, 2023 6.07% = 13.99% × 0.43
Sep 30, 2023 6.12% = 13.68% × 0.45
Jul 1, 2023 6.08% = 13.14% × 0.46
Apr 1, 2023 6.36% = 13.75% × 0.46
Dec 31, 2022 7.15% = 15.47% × 0.46
Oct 1, 2022 7.77% = 15.92% × 0.49
Jul 2, 2022 8.21% = 17.37% × 0.47
Apr 2, 2022 8.20% = 18.49% × 0.44
Dec 31, 2021 8.12% = 19.70% × 0.41
Oct 2, 2021 11.64% = 21.93% × 0.53
Jul 3, 2021 12.70% = 22.47% × 0.57
Apr 3, 2021 12.02% = 22.08% × 0.54
Dec 31, 2020 9.23% = 19.79% × 0.47
Sep 26, 2020 7.62% = 17.12% × 0.44
Jun 27, 2020 6.02% = 14.12% × 0.43
Mar 28, 2020 6.25% = 14.31% × 0.44
Dec 31, 2019 6.33% = 14.47% × 0.44
Sep 28, 2019 — = — × —
Jun 29, 2019 — = — × —
Mar 30, 2019 — = — × —

Based on: 10-Q (reporting date: 2024-09-28), 10-Q (reporting date: 2024-06-29), 10-Q (reporting date: 2024-03-30), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-07-01), 10-Q (reporting date: 2023-04-01), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-10-01), 10-Q (reporting date: 2022-07-02), 10-Q (reporting date: 2022-04-02), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-10-02), 10-Q (reporting date: 2021-07-03), 10-Q (reporting date: 2021-04-03), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-26), 10-Q (reporting date: 2020-06-27), 10-Q (reporting date: 2020-03-28), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-28), 10-Q (reporting date: 2019-06-29), 10-Q (reporting date: 2019-03-30).

The primary reason for the decrease in return on assets ratio (ROA) over Q3 2024 is the decrease in asset turnover ratio.

Four-Component Disaggregation of ROA

Thermo Fisher Scientific Inc., decomposition of ROA (quarterly data)

Microsoft Excel
ROA = Tax Burden × Interest Burden × EBIT Margin × Asset Turnover
Sep 28, 2024 6.11% = 0.91 × 0.82 × 19.45% × 0.42
Jun 29, 2024 6.32% = 0.91 × 0.82 × 19.56% × 0.43
Mar 30, 2024 6.21% = 0.92 × 0.82 × 18.81% × 0.44
Dec 31, 2023 6.07% = 0.95 × 0.82 × 17.86% × 0.43
Sep 30, 2023 6.12% = 0.95 × 0.83 × 17.32% × 0.45
Jul 1, 2023 6.08% = 0.95 × 0.85 × 16.29% × 0.46
Apr 1, 2023 6.36% = 0.93 × 0.88 × 16.81% × 0.46
Dec 31, 2022 7.15% = 0.91 × 0.91 × 18.66% × 0.46
Oct 1, 2022 7.77% = 0.91 × 0.93 × 18.98% × 0.49
Jul 2, 2022 8.21% = 0.88 × 0.94 × 20.98% × 0.47
Apr 2, 2022 8.20% = 0.88 × 0.94 × 22.24% × 0.44
Dec 31, 2021 8.12% = 0.87 × 0.94 × 23.90% × 0.41
Oct 2, 2021 11.64% = 0.87 × 0.95 × 26.59% × 0.53
Jul 3, 2021 12.70% = 0.86 × 0.95 × 27.40% × 0.57
Apr 3, 2021 12.02% = 0.87 × 0.94 × 27.03% × 0.54
Dec 31, 2020 9.23% = 0.88 × 0.93 × 24.14% × 0.47
Sep 26, 2020 7.62% = 0.91 × 0.91 × 20.77% × 0.44
Jun 27, 2020 6.02% = 0.94 × 0.87 × 17.18% × 0.43
Mar 28, 2020 6.25% = 0.90 × 0.87 × 18.30% × 0.44
Dec 31, 2019 6.33% = 0.91 × 0.86 × 18.58% × 0.44
Sep 28, 2019 — = — × — × — × —
Jun 29, 2019 — = — × — × — × —
Mar 30, 2019 — = — × — × — × —

Based on: 10-Q (reporting date: 2024-09-28), 10-Q (reporting date: 2024-06-29), 10-Q (reporting date: 2024-03-30), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-07-01), 10-Q (reporting date: 2023-04-01), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-10-01), 10-Q (reporting date: 2022-07-02), 10-Q (reporting date: 2022-04-02), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-10-02), 10-Q (reporting date: 2021-07-03), 10-Q (reporting date: 2021-04-03), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-26), 10-Q (reporting date: 2020-06-27), 10-Q (reporting date: 2020-03-28), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-28), 10-Q (reporting date: 2019-06-29), 10-Q (reporting date: 2019-03-30).

The primary reason for the decrease in return on assets ratio (ROA) over Q3 2024 is the decrease in efficiency measured by asset turnover ratio.

Disaggregation of Net Profit Margin

Thermo Fisher Scientific Inc., decomposition of net profit margin ratio (quarterly data)

Microsoft Excel
Net Profit Margin = Tax Burden × Interest Burden × EBIT Margin
Sep 28, 2024 14.48% = 0.91 × 0.82 × 19.45%
Jun 29, 2024 14.69% = 0.91 × 0.82 × 19.56%
Mar 30, 2024 14.20% = 0.92 × 0.82 × 18.81%
Dec 31, 2023 13.99% = 0.95 × 0.82 × 17.86%
Sep 30, 2023 13.68% = 0.95 × 0.83 × 17.32%
Jul 1, 2023 13.14% = 0.95 × 0.85 × 16.29%
Apr 1, 2023 13.75% = 0.93 × 0.88 × 16.81%
Dec 31, 2022 15.47% = 0.91 × 0.91 × 18.66%
Oct 1, 2022 15.92% = 0.91 × 0.93 × 18.98%
Jul 2, 2022 17.37% = 0.88 × 0.94 × 20.98%
Apr 2, 2022 18.49% = 0.88 × 0.94 × 22.24%
Dec 31, 2021 19.70% = 0.87 × 0.94 × 23.90%
Oct 2, 2021 21.93% = 0.87 × 0.95 × 26.59%
Jul 3, 2021 22.47% = 0.86 × 0.95 × 27.40%
Apr 3, 2021 22.08% = 0.87 × 0.94 × 27.03%
Dec 31, 2020 19.79% = 0.88 × 0.93 × 24.14%
Sep 26, 2020 17.12% = 0.91 × 0.91 × 20.77%
Jun 27, 2020 14.12% = 0.94 × 0.87 × 17.18%
Mar 28, 2020 14.31% = 0.90 × 0.87 × 18.30%
Dec 31, 2019 14.47% = 0.91 × 0.86 × 18.58%
Sep 28, 2019 — = — × — × —
Jun 29, 2019 — = — × — × —
Mar 30, 2019 — = — × — × —

Based on: 10-Q (reporting date: 2024-09-28), 10-Q (reporting date: 2024-06-29), 10-Q (reporting date: 2024-03-30), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-07-01), 10-Q (reporting date: 2023-04-01), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-10-01), 10-Q (reporting date: 2022-07-02), 10-Q (reporting date: 2022-04-02), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-10-02), 10-Q (reporting date: 2021-07-03), 10-Q (reporting date: 2021-04-03), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-26), 10-Q (reporting date: 2020-06-27), 10-Q (reporting date: 2020-03-28), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-28), 10-Q (reporting date: 2019-06-29), 10-Q (reporting date: 2019-03-30).

The primary reason for the decrease in net profit margin ratio over Q3 2024 is the decrease in effect of taxes measured by tax burden ratio.