Devon Energy Corporation (DVN)

Return on assets (ROA)

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Net income	US$ in thousands	2,891,000	3,747,000	6,015,000	2,813,000	-2,680,000
Total assets	US$ in thousands	30,489,000	24,490,000	23,721,000	21,025,000	9,912,000
ROA		9.48%	15.30%	25.36%	13.38%	-27.04%

December 31, 2024 calculation

ROA = Net income ÷ Total assets
= $2,891,000K ÷ $30,489,000K
= 9.48%

Based on the data provided, Devon Energy Corporation's return on assets (ROA) has exhibited significant fluctuations over the past five years. The ROA was particularly poor at -27.04% as of December 31, 2020, indicating the company may have faced challenges in generating profits relative to its total assets during that period.

However, there was a notable turnaround in the following year, with the ROA increasing to 13.38% as of December 31, 2021. This improvement suggests Devon Energy made effective adjustments to its operations or capital structure, resulting in a more efficient utilization of its assets to generate profits.

In the subsequent years, Devon Energy continued to demonstrate positive performance in terms of ROA, reaching 25.36% as of December 31, 2022, 15.30% as of December 31, 2023, and 9.48% as of December 31, 2024. These figures indicate that the company managed to sustain its profitability relative to its asset base, albeit at varying levels.

Overall, Devon Energy Corporation's ROA has shown volatility but has generally improved over the years, reflecting management's efforts to enhance asset utilization and generate returns for its stakeholders. It will be important for the company to continue monitoring and managing its assets effectively to sustain and enhance its financial performance in the future.