Archer-Daniels-Midland Company (ADM)
Operating return on assets (Operating ROA)
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | 2,077,000 | 1,815,000 | 2,350,000 | 3,228,000 | 3,719,000 | 4,695,000 | 5,020,000 | 4,940,000 | 5,046,000 | 5,008,000 | 4,233,000 | 3,625,000 | 3,045,000 | 2,768,000 | 2,855,000 | 2,569,000 | 2,088,000 | 2,044,000 | 1,862,000 | 1,968,000 |
| Total assets | US$ in thousands | 35,910,000 | 52,199,000 | 52,698,000 | 54,831,000 | 54,631,000 | 55,093,000 | 55,499,000 | 58,802,000 | 59,774,000 | 58,304,000 | 61,828,000 | 64,866,000 | 56,136,000 | 52,298,000 | 50,958,000 | 51,478,000 | 49,719,000 | 44,795,000 | 44,341,000 | 48,395,000 |
| Operating ROA | 5.78% | 3.48% | 4.46% | 5.89% | 6.81% | 8.52% | 9.05% | 8.40% | 8.44% | 8.59% | 6.85% | 5.59% | 5.42% | 5.29% | 5.60% | 4.99% | 4.20% | 4.56% | 4.20% | 4.07% |
December 31, 2024 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $2,077,000K ÷ $35,910,000K
= 5.78%
Archer-Daniels-Midland Company's operating return on assets (operating ROA) has shown fluctuations over the analyzed period, ranging from 4.07% to 9.05%. The trend indicates some variability in the company's efficiency in generating profits from its assets.
From March 31, 2020, to June 30, 2022, there was a steady increase in operating ROA, suggesting improved efficiency in utilizing assets to generate earnings. The peak of 9.05% on June 30, 2023, reflects a period of strong performance. However, there was a notable decline in the subsequent quarters, with the operating ROA dropping to 3.48% on September 30, 2024, before recovering slightly to 5.78% on December 31, 2024.
The decreasing trend in the latter part of the period indicates potential challenges or inefficiencies in asset utilization that may have impacted the company's profitability. Investors and stakeholders may want to further investigate the reasons behind the fluctuating operating ROA to understand the underlying factors affecting Archer-Daniels-Midland Company's financial performance.
Peer comparison
Dec 31, 2024