Alpha Metallurgical Resources Inc (AMR)
Return on assets (ROA)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 187,579 | 721,956 | 1,448,540 | 288,790 | -241,470 |
| Total assets | US$ in thousands | 2,438,710 | 2,406,060 | 2,312,480 | 1,857,710 | 1,680,090 |
| ROA | 7.69% | 30.01% | 62.64% | 15.55% | -14.37% |
December 31, 2024 calculation
ROA = Net income ÷ Total assets
= $187,579K ÷ $2,438,710K
= 7.69%
Alpha Metallurgical Resources Inc's return on assets (ROA) has exhibited significant fluctuations over the last five years. In December 2020, the ROA was at a negative 14.37%, indicating that the company had a net loss relative to its total assets. However, there was a remarkable turnaround in December 2021, with the ROA jumping to a positive 15.55%, signaling improved efficiency in generating profits from its assets.
The following year, in December 2022, Alpha Metallurgical Resources Inc experienced a substantial surge in ROA to 62.64%, reflecting robust profitability relative to its asset base. This significant increase may suggest improved operational performance, cost management, or potentially asset optimization strategies.
By December 2023, the ROA remained strong at 30.01%, indicating that the company continued to effectively utilize its assets to generate profits. However, there was a notable decrease in performance by December 2024, with the ROA dropping to 7.69%. This decline could be attributed to various factors such as increased expenses, lower revenue generation, or changes in the asset base efficiency.
Overall, the fluctuation in Alpha Metallurgical Resources Inc's ROA over the five-year period highlights the company's varying levels of profitability and asset utilization efficiency. It is crucial for stakeholders to closely monitor these trends to assess the company's financial health and operational effectiveness.
Peer comparison
Dec 31, 2024