FirstEnergy Corporation (FE)
Return on assets (ROA)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 1,102,000 | 406,000 | 1,283,000 | 1,079,000 | 912,000 |
| Total assets | US$ in thousands | 48,767,000 | 46,108,000 | 45,432,000 | 44,464,000 | 42,301,000 |
| ROA | 2.26% | 0.88% | 2.82% | 2.43% | 2.16% |
December 31, 2023 calculation
ROA = Net income ÷ Total assets
= $1,102,000K ÷ $48,767,000K
= 2.26%
Firstenergy Corp.'s return on assets (ROA) has varied over the last five years, with the following values: 2.26% in 2023, 0.88% in 2022, 2.82% in 2021, 2.43% in 2020, and 2.15% in 2019. ROA measures the company's ability to generate profit relative to its total assets. A higher ROA indicates that the company is more efficient in utilizing its assets to generate earnings.
The ROA fluctuated during this period, reaching a peak of 2.82% in 2021 and a low of 0.88% in 2022. The increase in ROA from 2022 to 2023 indicates an improvement in the company's profitability relative to its assets. However, it is worth noting that the ROA in 2023 is still lower than the peak in 2021.
Overall, the trend in Firstenergy Corp.'s ROA suggests some volatility in its asset utilization and profitability over the past five years. Further analysis of the company's financial performance and operational efficiency would be necessary to understand the underlying factors driving these fluctuations in ROA.
Peer comparison
Dec 31, 2023