Meaning of “return on assets” in the English Dictionary


"return on assets" in Business English

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return on assetsnoun [ C or U ]

uk us abbreviation ROA

FINANCE, ACCOUNTING a company's profit for a particular period compared with the value of its assets (= factories, equipment, etc.) for that period. This shows how effectively the company is using its assets:

The company had a 1.5% return on assets, a measure of its strong profitability.

(Definition of “return on assets” from the Cambridge Business English Dictionary © Cambridge University Press)