Kinder Morgan Inc (KMI)
Return on assets (ROA)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 2,613,000 | 2,391,000 | 2,548,000 | 1,784,000 | 119,000 |
| Total assets | US$ in thousands | 71,407,000 | 71,020,000 | 70,078,000 | 70,416,000 | 71,973,000 |
| ROA | 3.66% | 3.37% | 3.64% | 2.53% | 0.17% |
December 31, 2024 calculation
ROA = Net income ÷ Total assets
= $2,613,000K ÷ $71,407,000K
= 3.66%
Kinder Morgan Inc's return on assets (ROA) has shown a consistent improvement over the years based on the provided data. As of December 31, 2020, the ROA stood at 0.17%, which suggests that for every dollar of assets, the company generated a profit of 0.17 cents. Subsequently, the ROA increased significantly to 2.53% by December 31, 2021, indicating a notable enhancement in asset utilization efficiency.
The trend continued with a further rise in ROA to 3.64% by December 31, 2022, indicating a more efficient use of assets to generate profits. Despite a minor dip to 3.37% by December 31, 2023, the ROA remained at a relatively high level. By December 31, 2024, the ROA increased again to 3.66%, signifying sustained profitability and effective management of assets.
Overall, the increasing trend in ROA reflects Kinder Morgan Inc's ability to generate higher returns relative to its asset base, indicating improved operational efficiency and profitability over the years.
Peer comparison
Dec 31, 2024