American Airlines Group (AAL)

Return on assets (ROA)

		Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Net income (ttm)	US$ in thousands	822,000	1,606,000	2,634,000	1,772,000	127,000	-1,608,000	-1,922,000	-2,379,000	-1,994,000	-3,240,000	-5,808,000	-7,894,000	-8,885,000	-6,293,000	-3,469,000	-740,000	1,686,000	1,597,000	1,544,000	1,438,000
Total assets	US$ in thousands	63,058,000	65,711,000	67,260,000	66,786,000	64,716,000	66,652,000	67,963,000	67,401,000	66,467,000	68,437,000	72,464,000	68,649,000	62,008,000	62,773,000	64,544,000	58,580,000	59,995,000	61,175,000	61,967,000	60,787,000
ROA		1.30%	2.44%	3.92%	2.65%	0.20%	-2.41%	-2.83%	-3.53%	-3.00%	-4.73%	-8.02%	-11.50%	-14.33%	-10.03%	-5.37%	-1.26%	2.81%	2.61%	2.49%	2.37%

December 31, 2023 calculation

ROA = Net income (ttm) ÷ Total assets
= $822,000K ÷ $63,058,000K
= 1.30%

American Airlines Group Inc's return on assets (ROA) has been fluctuating over the past eight quarters. The highest ROA was recorded in Q2 2023 at 3.92%, indicating that the company generated $3.92 in profit for every $100 of assets it owns during that period. This was followed by Q3 2023 with an ROA of 2.44%. These two quarters showed relatively strong performance in terms of asset utilization.

However, ROA declined in Q4 2023 to 1.30%, although it remained positive. The company's performance in Q1 2023 was also respectable with an ROA of 2.65%. Prior to this, American Airlines faced challenges with negative ROA figures in Q3 and Q2 of 2022, indicating that the company was not efficiently utilizing its assets to generate profits during that period.

Overall, American Airlines Group Inc's ROA has shown variability, with some quarters demonstrating efficient asset utilization and strong profitability, while others have shown weaknesses in the company's ability to generate returns from its assets. Investors and stakeholders should continue to monitor the company's ROA trend to assess its long-term profitability and asset management capabilities.