DTE Energy Company (DTE)
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 | 2,243,000 | 1,748,000 | 1,495,000 | 1,555,000 | 1,430,000 |
| Total assets | US$ in thousands | 44,755,000 | 42,683,000 | 39,719,000 | 45,496,000 | 42,268,000 |
| Operating ROA | 5.01% | 4.10% | 3.76% | 3.42% | 3.38% |
December 31, 2023 calculation
Operating ROA = Operating income ÷ Total assets
= $2,243,000K ÷ $44,755,000K
= 5.01%
The operating return on assets (operating ROA) for DTE Energy Co. has shown a positive trend over the past five years, indicating an improvement in the company's ability to generate operating profits from its assets. The operating ROA increased from 4.11% in 2019 to 5.05% in 2023, signifying an upward trajectory in the company's operational efficiency and profitability.
This improvement in operating ROA suggests that DTE Energy Co. has been able to effectively utilize its assets to generate operating income, which is a positive indication of the company's operational effectiveness. It implies that the company is efficiently managing its assets to generate revenue and control costs, ultimately leading to higher profitability.
Overall, the increasing trend in operating ROA for DTE Energy Co. reflects the company's sound operational performance and efficiency in generating returns from its asset base.
Peer comparison
Dec 31, 2023