Peabody Energy Corp (BTU)
Operating return on assets (Operating ROA)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 445,300 | 1,074,700 | 1,381,600 | 432,200 | -178,800 |
| Total assets | US$ in thousands | 5,953,700 | 5,962,100 | 5,610,800 | 4,949,800 | 4,667,100 |
| Operating ROA | 7.48% | 18.03% | 24.62% | 8.73% | -3.83% |
December 31, 2024 calculation
Operating ROA = Operating income ÷ Total assets
= $445,300K ÷ $5,953,700K
= 7.48%
Peabody Energy Corp's operating return on assets (ROA) has shown a fluctuating trend over the past five years. The company experienced a negative operating ROA of -3.83% as of December 31, 2020, indicating potential operational inefficiencies. However, there was a significant turnaround in the following years, with the operating ROA improving to 8.73% as of December 31, 2021, and further increasing to 24.62% by December 31, 2022. This sharp rise suggests an enhancement in the company's ability to generate operating profits from its assets.
In 2023, the operating ROA decreased slightly to 18.03%, indicating a possible normalization or adjustment phase after the substantial improvement in the previous year. By December 31, 2024, the operating ROA declined to 7.48%, suggesting a moderation in the company's operating profitability compared to the peak in 2022. Overall, Peabody Energy's operating ROA performance reflects a mix of challenges and improvements in effectively utilizing its assets to generate operating income over the analyzed period.
Peer comparison
Dec 31, 2024