ConocoPhillips (COP)
Operating return on assets (Operating ROA)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 25,065,000 | 36,311,000 | 23,096,000 | 4,746,000 | 17,564,000 |
| Total assets | US$ in thousands | 95,924,000 | 93,829,000 | 90,661,000 | 62,618,000 | 70,514,000 |
| Operating ROA | 26.13% | 38.70% | 25.48% | 7.58% | 24.91% |
December 31, 2023 calculation
Operating ROA = Operating income ÷ Total assets
= $25,065,000K ÷ $95,924,000K
= 26.13%
Conoco Phillips' operating return on assets (operating ROA) has displayed fluctuations over the past five years. In 2023, the operating ROA stood at 15.37%, showing a decrease from the previous year's level of 26.87%. This decline indicates a lower return generated from the company's operating activities relative to its total assets compared to the prior year.
The 2023 operating ROA of 15.37% was higher than the levels observed in 2021 and 2019, indicating an improvement in the company's operational efficiency in utilizing its assets to generate profits. Notably, Conoco Phillips experienced a significant negative operating ROA of -3.28% in 2020, suggesting that the company faced challenges in generating positive returns from its operating activities that year.
Overall, the fluctuating trend in Conoco Phillips' operating ROA reflects variations in the company's operational performance and efficiency in leveraging its asset base to generate profits over the specified period.
Peer comparison
Dec 31, 2023