Liberty Oilfield Services Inc (LBRT)
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 | 389,468 | 488,298 | 586,247 | 650,892 | 760,579 | 835,289 | 813,045 | 717,171 | 495,890 | 233,991 | 11,442 | -135,166 | -181,224 | -172,157 | -187,993 | -225,531 | -177,026 | -140,985 | -59,013 | 65,732 |
| Total assets | US$ in thousands | 3,296,390 | 3,272,880 | 3,241,360 | 3,097,620 | 3,033,560 | 3,089,120 | 2,924,500 | 2,760,620 | 2,575,930 | 2,525,160 | 2,335,130 | 2,190,880 | 2,040,660 | 1,966,090 | 1,975,130 | 1,916,780 | 1,889,940 | 1,058,750 | 1,051,120 | 1,298,550 |
| Operating ROA | 11.81% | 14.92% | 18.09% | 21.01% | 25.07% | 27.04% | 27.80% | 25.98% | 19.25% | 9.27% | 0.49% | -6.17% | -8.88% | -8.76% | -9.52% | -11.77% | -9.37% | -13.32% | -5.61% | 5.06% |
December 31, 2024 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $389,468K ÷ $3,296,390K
= 11.81%
Liberty Oilfield Services Inc's operating return on assets (operating ROA) has exhibited significant fluctuations over the analyzed period. The company's operating ROA ranged from negative figures, indicating operational inefficiencies and potential financial distress, to positive percentages, reflecting improved operational performance and profitability.
From March 31, 2020, to June 30, 2021, Liberty Oilfield Services Inc experienced a trend of negative operating ROA, highlighting challenges in generating profits relative to its assets. However, there was a notable turnaround starting from the second half of 2022, with operating ROA turning positive, reaching a peak of 27.80% on June 30, 2023. This period likely signifies operational improvements and enhanced efficiency in asset utilization, leading to better returns for the company.
The subsequent quarters until December 31, 2024, saw a gradual decline in operating ROA after its peak, indicating a potential slowdown in operational performance or challenges faced by the company in maintaining previous profitability levels.
Overall, the positive swing in operating ROA from negative to high positive percentages reflects the company's ability to enhance operational efficiency, asset utilization, and overall profitability. However, sustaining these improved performance levels will be crucial for Liberty Oilfield Services Inc's long-term financial success.
Peer comparison
Dec 31, 2024