ANGI Homeservices Inc (ANGI)
Return on assets (ROA)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 36,004 | -40,940 | -127,982 | -70,494 | -4,160 |
| Total assets | US$ in thousands | 1,830,740 | 1,856,220 | 1,907,780 | 2,010,140 | 2,368,180 |
| ROA | 1.97% | -2.21% | -6.71% | -3.51% | -0.18% |
December 31, 2024 calculation
ROA = Net income ÷ Total assets
= $36,004K ÷ $1,830,740K
= 1.97%
The return on assets (ROA) for ANGI Homeservices Inc. has exhibited significant fluctuations over the period from December 31, 2020, to December 31, 2024. In 2020, the ROA was recorded at -0.18%, indicating a marginally negative return relative to the company's total assets. This negative figure became more pronounced in 2021, reaching -3.51%, reflecting a deeper level of asset utilization inefficiency or increased net losses relative to total assets.
The downward trend persisted into 2022, with the ROA declining further to -6.71%. This suggests that the company's ability to generate earnings from its assets was increasingly diminished, possibly due to operational challenges, increased expenses, or revenue shortfalls during this period. The negative profitability impact continued into 2023, though the ROA improved somewhat to -2.21%, indicating a partial recovery or improvement in asset efficiency compared to the previous year.
In 2024, the company experienced a substantial positive turnaround, with the ROA rising to 1.97%. This shift from negative to positive signifies a noteworthy improvement in net income relative to total assets, suggesting effective operational measures, revenue growth, or cost control efforts that enhanced overall profitability. Such a change indicates that ANGI Homeservices Inc. moved from a period of losses to generating a modest but positive return on its assets, reflecting an improved financial efficiency and operational health.
Overall, the trajectory of ANGI Homeservices Inc.'s ROA demonstrates a transition from a predominantly negative return in the initial years towards a positive and more sustainable profitability position by 2024. This trend underscores the company's evolving capabilities to leverage its assets efficiently to generate earnings, marking a significant turnaround in its financial performance over these years.
Peer comparison
Dec 31, 2024