ROA

ROA Industrail Healthcare Safety & Consumer Electronics

Graphics Segment & Energy
2016 0.36 0.23 0.15 0.35 0.46
2017 0.35 0.29 0.18 0.37 0.46
2018 0.42 0.40 0.28 0.40 0.29
2019 0.40 0.46 0.28 0.48 0.35

Segment return on assets is a financial ratio that shows the profitability of a business
segment by comparing operating income to average assets. In other words, it’s a ratio
that shows how efficiently one part of a business can use its assets to generate
operating income.

Segment ROA = PROFIT/ASSETS

 Industrial Segment
0.44

0.42

0.40

0.38

Series1
0.36

0.34

0.32

0.30
1 2 3 4

In INDUSTRIAL, ROA decreased in 2017 by 0.01 from the last year i.e.,
2016 which means that the Industrial segment profits have decresed and
then in 2018 the segment ROA increased by 0.07 which means that the
performance of Industrial has improved by earning more profits but again
in 2019 the segment ROA decreased by 0.02 which means that the
segment profits had reduced as compared to 2018.
 Healthcare Segment
0.50
0.45
0.40
0.35
0.30
0.25
Series1
0.20
0.15
0.10
0.05
0.00
1 2 3 4
In HEALTH CARE, ROA is constantly increasing since 2016 till 2019 which shows
that Health Care is constantly using its assetes more effciently every year to
generate more income. ROA increased from 0.23 in 2016 to 0.29 in 2017 by
0.06, but next year it increased to 0.40 in 2018 by 0.11. This shows company’s
efficiency was getting better in order to generate more profit from its assets. In
2019 ROA increased to 0.46 by just 0.6 as compared to last year’s 0.11 growth.
This shows health care’s efficency increased but at diminishing rate compared to
last year.
 Safety & Graphics Segment
0.30

0.25

0.20

0.15
Series1

0.10

0.05

0.00
1 2 3 4

In Safety and Graphics, ROA increasd from 0.15 in 2016 to 0.18 in 2017 by
0.03 which shows the efficiency of safety increased in order to generate
more profit by using its assets. In 2018 ROA increased to 0.28 by 0.1 which
shows the efficiency not only increased but increased at increasing rate. In
2019 ROA remained constant as compared to 2018 which shows no
growth or expansion happened during 2018-2019.
 Consumer Segment
0.60

0.50

0.40

0.30
Series1

0.20

0.10

0.00
1 2 3 4
In CONSUMER, ROA is constantly increasing from 2016’s 0.35 to 0.37 in 2017
by 0.02, then increased to 0.4 in 2018 by 0.03 and in 2019 it increased by
0.08 to 0.48. This shows ROA was not only increasing but at increasing rate
every year , which symbolizes that consumer’s efficiency was getting better
year after year.
 Electronics & Energy Segment
0.50
0.45
0.40
0.35
0.30
0.25
Series1
0.20
0.15
0.10
0.05
0.00
1 2 3 4
In ELECTRONICS AND ENERGY, ROA was constant in 2017 compared to
2016 that means there was no growth or expansion during the year . In
2018 it fell from 0.46 to 0.29 by 0.17 which shows that 3M downsize its
capacity compared to last year and then it again increased to 0.35 in 2019
that means there was a growth in the electronics and energy during the
year.
Industrial Segment

1
2
3
4
Healthcare Segment

1
2
3
4
Safety & Graphics Segment

1
2
3
4
Consumer Segment

1
2
3
4
Electronics & Energy Segment

1
2
3
4