Eversource Energy (ES)
Return on assets (ROA)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 811,653 | -442,240 | 1,404,880 | 1,220,530 | 1,205,170 |
| Total assets | US$ in thousands | 59,594,500 | 55,612,200 | 53,230,900 | 48,492,100 | 46,099,600 |
| ROA | 1.36% | -0.80% | 2.64% | 2.52% | 2.61% |
December 31, 2024 calculation
ROA = Net income ÷ Total assets
= $811,653K ÷ $59,594,500K
= 1.36%
The return on assets (ROA) for Eversource Energy has fluctuated over the past five years. In December 2020, the ROA was 2.61%, indicating that the company generated $2.61 in profit for every $100 of assets it owned. This ratio declined slightly to 2.52% by December 2021, before increasing to 2.64% by December 2022.
However, there was a significant decrease in ROA by December 2023, dropping to -0.80%. This negative ROA suggests that the company incurred a loss in relation to its assets during that period. Eversource Energy managed to improve its performance in December 2024, with the ROA recovering to 1.36%.
Overall, Eversource Energy's ROA has shown variability in recent years, indicating fluctuations in its efficiency in generating profits from its assets. It would be important to further investigate the reasons behind these fluctuations to assess the company's financial performance and sustainability.
Peer comparison
Dec 31, 2024