APA Corporation (APA)
Return on assets (ROA)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 2,526,000 | 3,536,000 | 1,062,000 | -4,860,000 | -3,553,000 |
| Total assets | US$ in thousands | 16,944,000 | 14,255,000 | 14,393,000 | 12,746,000 | 18,107,000 |
| ROA | 14.91% | 24.81% | 7.38% | -38.13% | -19.62% |
December 31, 2023 calculation
ROA = Net income ÷ Total assets
= $2,526,000K ÷ $16,944,000K
= 14.91%
Based on the data provided, APA Corporation's return on assets (ROA) has varied significantly over the past five years. In 2023, the ROA was 18.73%, showing a moderate decrease from the previous year's ROA of 27.95%. This indicates that, in 2023, APA Corporation generated $0.1873 in net income for each dollar of assets it holds.
The ROA in 2023 is notably higher compared to 2021's ROA of 7.31%, reflecting an improvement in the company's efficiency in generating profits from its assets. However, it is important to note that the ROA in 2020 and 2019 was negative, indicating that in those years, the company's assets were not effectively utilized to generate profits.
Overall, the trend in ROA for APA Corporation shows fluctuations over the years, with a significant improvement from the negative returns in 2020 and 2019 to positive returns in 2021, 2022, and 2023. This suggests that the company has taken steps to enhance its asset management efficiency and profitability over the past few years.
Peer comparison
Dec 31, 2023