Divide net profit by total assets to see how efficiently the asset base generates profit.
The return on assets is the share of total assets that net profit represents, expressed as a percentage. The same figure is also shown per 1,000 and as a "one in every N" odds statement, which is easier to reason about when the rate is very small. Absolute counts hide scale — a rate normalises the number so you can compare periods, channels or cohorts of different sizes, where higher is better.
Return on Assets
Return on Assets = Net profit ÷ Total assets × 100
Return on Assets = Net profit ÷ Total assets × 100 The return on assets is the share of total assets that net profit represents, expressed as a percentage. The same figure is also shown per 1,000 and as a "one in every N" odds statement, which is easier to reason about when the rate is very small.
Absolute counts hide scale — a rate normalises the number so you can compare periods, channels or cohorts of different sizes, where higher is better.
This calculator takes 2 inputs: Net profit, Total assets. The pre-filled defaults are a realistic starting point — replace them with figures from your own environment for a result you can act on.