Lumen Technologies Inc (LUMN)

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 460,000 -9,584,000 3,539,000 4,285,000 3,528,000
Total assets US$ in thousands 33,496,000 34,018,000 45,581,000 57,993,000 59,394,000
Operating ROA 1.37% -28.17% 7.76% 7.39% 5.94%

December 31, 2024 calculation

Operating ROA = Operating income ÷ Total assets
= $460,000K ÷ $33,496,000K
= 1.37%

The operating return on assets (operating ROA) for Lumen Technologies Inc has fluctuated over the years. It increased from 5.94% as of December 31, 2020, to 7.39% as of December 31, 2021, and further to 7.76% as of December 31, 2022. However, there was a significant decline to -28.17% as of December 31, 2023, indicating potential operational challenges during that period. The company then managed to recover slightly, with the operating ROA improving to 1.37% as of December 31, 2024.

Overall, the trend in Lumen Technologies Inc's operating ROA suggests a mix of performance levels in utilizing its assets to generate operating profits. The negative ROA in 2023 may require further analysis to understand the causes and the company's strategies for improvement in subsequent periods. It is essential for stakeholders to closely monitor the company's operating ROA trends to assess its operational efficiency and profitability.