Fluor Corporation (FLR)
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 | 147,000 | 209,000 | -273,000 | -232,000 | -828,335 |
| Total assets | US$ in thousands | 6,973,000 | 6,827,000 | 7,089,000 | 7,309,810 | 7,966,660 |
| Operating ROA | 2.11% | 3.06% | -3.85% | -3.17% | -10.40% |
December 31, 2023 calculation
Operating ROA = Operating income ÷ Total assets
= $147,000K ÷ $6,973,000K
= 2.11%
Fluor Corporation's operating return on assets (operating ROA) has shown varying trends over the past five years. In 2023, the operating ROA improved to 3.51%, a significant increase from the previous year's 1.73%. This indicates that the company generated $3.51 in operating income for every $100 of assets it had in 2023.
The 2023 performance is notably better compared to the 2021 and 2020 levels of 2.68% and 1.98% respectively, suggesting an upward trend in operational efficiency and asset utilization. However, it is important to note that the operating ROA was negative in 2019 at -7.36%, reflecting a period of operational inefficiency or potentially significant asset write-downs.
Overall, the recent improvement in operating ROA signifies that Fluor Corporation has been more effective in generating profits from its assets in 2023 compared to previous years. This positive trend indicates potential operational improvements and strategic decisions that have positively impacted the company's financial performance.
Peer comparison
Dec 31, 2023