Chesapeake Energy Corp (CHK)
Operating return on assets (Operating ROA)
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | 3,142,000 | 4,644,000 | 5,570,000 | 6,394,000 | 3,780,000 | 2,973,000 | 1,630,000 | -141,000 | 938,000 | -307,000 | -80,000 | -191,000 | -8,703,000 | -9,052,000 | -8,895,000 | -8,076,000 | -31,000 | 560,000 | 596,000 | 158,000 |
| Total assets | US$ in thousands | 14,376,000 | 14,248,000 | 14,429,000 | 14,591,000 | 15,468,000 | 14,089,000 | 13,899,000 | 13,293,000 | 11,009,000 | 7,326,000 | 6,999,000 | 6,904,000 | 6,584,000 | 6,903,000 | 6,553,000 | 7,808,000 | 16,193,000 | 16,579,000 | 16,540,000 | 16,637,000 |
| Operating ROA | 21.86% | 32.59% | 38.60% | 43.82% | 24.44% | 21.10% | 11.73% | -1.06% | 8.52% | -4.19% | -1.14% | -2.77% | -132.18% | -131.13% | -135.74% | -103.43% | -0.19% | 3.38% | 3.60% | 0.95% |
December 31, 2023 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $3,142,000K ÷ $14,376,000K
= 21.86%
Operating return on assets (ROA) is a key financial ratio that assesses a company's ability to generate earnings from its assets before interest and taxes. Chesapeake Energy Corp's operating ROA has fluctuated over the periods provided in the table.
In the most recent quarter, ending December 31, 2023, Chesapeake Energy Corp reported an operating ROA of 21.86%, showing a solid performance in terms of generating operating income relative to its assets. This indicates that the company is efficient in utilizing its assets to generate profits from its core operations.
Looking back, the operating ROA has shown a significant improvement compared to the negative figures reported in previous periods, such as the steep decline to -132.18% in December 2020. This suggests that the company has made positive strides in optimizing its asset utilization and operational efficiency.
Overall, the trend in operating ROA for Chesapeake Energy Corp indicates a positive direction, with recent quarters showing stronger performances. It suggests that the company has been successful in improving its operational effectiveness and profitability, which can be an encouraging sign for investors and stakeholders. However, continuous monitoring of this metric is essential to ensure sustained financial health and efficiency in asset management.
Peer comparison
Dec 31, 2023