Archrock Inc (AROC)

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	172,231	145,475	138,817	129,045	104,998	82,454	66,967	59,060	44,296	39,830	33,763	25,769	28,217	27,016	36,044	-3,089	-68,445	-27,192	-25,117	16,687
Total assets	US$ in thousands	3,824,200	3,816,250	2,710,650	2,662,940	2,655,950	2,672,110	2,680,020	2,619,910	2,598,750	2,605,600	2,601,330	2,600,020	2,589,970	2,618,220	2,695,660	2,722,530	2,779,720	2,865,670	2,928,390	3,016,840
ROA		4.50%	3.81%	5.12%	4.85%	3.95%	3.09%	2.50%	2.25%	1.70%	1.53%	1.30%	0.99%	1.09%	1.03%	1.34%	-0.11%	-2.46%	-0.95%	-0.86%	0.55%

December 31, 2024 calculation

ROA = Net income (ttm) ÷ Total assets
= $172,231K ÷ $3,824,200K
= 4.50%

Archrock Inc's return on assets (ROA) has exhibited fluctuations over the period under review.

In the first half of 2020, the company experienced negative ROA figures, indicating a decline in its efficiency in generating profit from its assets. However, by the second half of 2020 and into 2021, there was a noticeable improvement in ROA, with positive percentages recorded. This suggests an enhanced ability to utilize its assets to generate profits during this period.

Subsequently, from 2022 onwards, Archrock Inc's ROA continued to increase steadily, reaching a peak of 5.12% in June 2024. This upward trend signifies improved efficiency in utilizing its assets to generate earnings and indicates a positive trajectory for the company.

Overall, the increasing ROA figures over the period indicate that Archrock Inc has been effective in managing its assets to generate higher returns, which is a positive indicator of its operational efficiency and financial performance.