Alpha Metallurgical Resources Inc (AMR)

Return on assets (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
Net income (ttm) US$ in thousands 187,579 365,724 455,734 578,180 721,956 766,620 925,623 1,318,425 1,448,545 1,485,310 1,315,757 722,609 288,790 -68,808 -220,709 -440,019 -446,899 -487,687 -487,582 -362,942
Total assets US$ in thousands 2,438,710 2,479,420 2,492,950 2,460,810 2,406,060 2,352,960 2,357,830 2,349,120 2,312,480 2,259,850 2,216,150 2,113,000 1,857,710 1,675,950 1,662,780 1,671,640 1,680,090 1,923,120 2,040,240 2,291,920
ROA 7.69% 14.75% 18.28% 23.50% 30.01% 32.58% 39.26% 56.12% 62.64% 65.73% 59.37% 34.20% 15.55% -4.11% -13.27% -26.32% -26.60% -25.36% -23.90% -15.84%

December 31, 2024 calculation

ROA = Net income (ttm) ÷ Total assets
= $187,579K ÷ $2,438,710K
= 7.69%

Alpha Metallurgical Resources Inc's return on assets (ROA) has shown a significant improvement over the past few years. The company experienced negative ROA figures from March 2020 to March 2022, indicating operational inefficiencies and a lack of profitability relative to its total assets during that period.

However, starting from June 2022, Alpha Metallurgical Resources Inc's ROA began to increase steadily. The continual rise in ROA percentages from June 2022 to December 2024 suggests that the company has been able to effectively utilize its assets to generate profits. This positive trend indicates improved operational efficiency and stronger profitability.

The ROA reaching a peak of 65.73% in September 2022 signifies a significant turnaround in the company's asset utilization and profitability. Although there was a slight decline in ROA in the following quarters, Alpha Metallurgical Resources Inc managed to maintain a healthy ROA above 30% as of December 2024, demonstrating sustained efficiency in generating profits relative to its assets.

Overall, the trend in Alpha Metallurgical Resources Inc's ROA indicates a positive shift towards increased profitability and efficient asset management, reflecting potentially improved financial performance and investor returns in recent periods.


Peer comparison

Dec 31, 2024

Company name
Symbol
ROA
Alpha Metallurgical Resources Inc
AMR
7.69%
Peabody Energy Corp
BTU
6.23%