California Resources Corp (CRC)
Operating return on assets (Operating ROA)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2019 | Dec 31, 2018 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 808,000 | 812,000 | 293,000 | 429,000 | 769,000 |
| Total assets | US$ in thousands | 3,998,000 | 3,967,000 | 3,846,000 | 6,958,000 | 7,158,000 |
| Operating ROA | 20.21% | 20.47% | 7.62% | 6.17% | 10.74% |
December 31, 2023 calculation
Operating ROA = Operating income ÷ Total assets
= $808,000K ÷ $3,998,000K
= 20.21%
Operating ROA is a key financial ratio that indicates how efficiently California Resources Corporation is generating profits from its operational assets. The trend of operating ROA over the past three years shows a positive trajectory, starting at 5.67% in 2021, increasing to 19.01% in 2022, and further improving to 19.26% in 2023. This indicates that the company has been able to enhance its operational efficiency and profitability over time.
A high operating ROA signifies that California Resources Corporation is effectively utilizing its assets to generate earnings from its core business operations. This metric reflects the company's ability to efficiently manage its operations and convert its assets into profits. The consistent improvement in operating ROA indicates a favorable performance by the company in optimizing its asset utilization and generating returns for its shareholders. It also reflects positively on the company's management efficiency in controlling costs and increasing revenue generation. Overall, the trend of increasing operating ROA over the years suggests a positive outlook for California Resources Corporation's financial health and operational performance.
Peer comparison
Dec 31, 2023