Six Flags Entertainment Corporation (FUN)
Operating return on assets (Operating ROA)
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | 323,267 | 323,564 | 367,679 | 338,153 | 332,363 | 330,424 | 315,916 | 334,314 | 369,855 | 349,487 | 307,125 | 156,621 | 148,335 | 10,421 | -376,448 | -480,103 | -572,008 | -446,353 | -33,917 | 210,415 |
| Total assets | US$ in thousands | 9,130,520 | 9,369,230 | 2,347,830 | 2,264,260 | 2,282,460 | 2,318,600 | 2,316,420 | 2,209,740 | 2,235,900 | 2,414,460 | 2,417,000 | 2,350,300 | 2,313,020 | 2,814,490 | 2,664,230 | 2,627,660 | 2,693,410 | 2,501,520 | 2,657,530 | 2,389,480 |
| Operating ROA | 3.54% | 3.45% | 15.66% | 14.93% | 14.56% | 14.25% | 13.64% | 15.13% | 16.54% | 14.47% | 12.71% | 6.66% | 6.41% | 0.37% | -14.13% | -18.27% | -21.24% | -17.84% | -1.28% | 8.81% |
December 31, 2024 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $323,267K ÷ $9,130,520K
= 3.54%
Operating return on assets (Operating ROA) is a key financial metric that indicates how effectively a company generates operating income from its assets. For Six Flags Entertainment Corporation, the trend of Operating ROA from March 2020 to December 2024 shows considerable fluctuations.
In March 2020, the Operating ROA was 8.81%, indicating a positive performance in generating operating income from assets. However, this metric sharply declined in the following quarters, touching negative figures in June 2020 (-1.28%), September 2020 (-17.84%), and December 2020 (-21.24%). These negative values suggest that the company was not efficiently utilizing its assets to generate operating income during this period.
There was a slight improvement seen in the following quarters, with Operating ROA turning positive again in September 2021 (0.37%) and December 2021 (6.41%). This positive trend continued in the subsequent quarters, with the Operating ROA reaching its peak at 16.54% in December 2022.
Although there were fluctuations in the following quarters, the Operating ROA remained relatively stable at levels above 10% until September 2024 when it decreased to 3.45%. By the end of December 2024, the Operating ROA stood at 3.54%.
Overall, the Operating ROA trend for Six Flags Entertainment Corporation indicates periods of both efficiency and inefficiency in utilizing its assets to generate operating income. It is essential for the company to maintain a consistently positive Operating ROA to demonstrate effective asset utilization and sustainable profitability in the long term.
Peer comparison
Dec 31, 2024