Frontier Communications Parent Inc (FYBR)

Operating return on assets (Operating ROA)

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Operating income US$ in thousands 353,000 565,000 592,000 762 959,000
Total assets US$ in thousands 20,614,000 20,693,000 18,624,000 16,481,000 16,795,000
Operating ROA 1.71% 2.73% 3.18% 0.00% 5.71%

December 31, 2024 calculation

Operating ROA = Operating income ÷ Total assets
= $353,000K ÷ $20,614,000K
= 1.71%

The operating return on assets (Operating ROA) for Frontier Communications Parent Inc has shown a fluctuating trend over the past five years. As of December 31, 2020, the operating ROA was 5.71%, indicating that the company generated $0.0571 in operating income for every $1 of assets. However, there was a significant decline in performance by December 31, 2021, when the operating ROA dropped to 0.00%, suggesting that the company may not have been efficiently utilizing its assets to generate operating income.

Subsequently, there was a slight improvement in the operating ROA to 3.18% as of December 31, 2022, followed by a decrease to 2.73% by December 31, 2023. This downward trend indicates challenges in effectively using the company's assets to generate operating profits.

By December 31, 2024, the operating ROA further declined to 1.71%, signaling continued struggles in maximizing operating income relative to the assets employed. Overall, the fluctuating performance of Frontier Communications Parent Inc in terms of operating ROA suggests a need for the company to focus on improving operational efficiency and asset utilization to enhance profitability in the future.