Lumen Technologies Inc (LUMN)
Return on assets (ROA)
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | -10,298,000 | -11,372,000 | -10,716,000 | -1,636,000 | -1,548,000 | 2,029,000 | 1,995,000 | 2,157,000 | 2,033,000 | -764,000 | -942,000 | -1,071,000 | -1,232,000 | 1,280,000 | 1,216,000 | 1,210,000 | -5,269,000 | -7,904,000 | -7,934,000 | -8,013,000 |
| Total assets | US$ in thousands | 34,018,000 | 35,921,000 | 36,168,000 | 45,530,000 | 45,612,000 | 54,817,000 | 57,675,000 | 58,037,000 | 57,993,000 | 58,308,000 | 58,947,000 | 58,828,000 | 59,394,000 | 62,599,000 | 64,171,000 | 64,056,000 | 64,742,000 | 64,728,000 | 64,508,000 | 64,788,000 |
| ROA | -30.27% | -31.66% | -29.63% | -3.59% | -3.39% | 3.70% | 3.46% | 3.72% | 3.51% | -1.31% | -1.60% | -1.82% | -2.07% | 2.04% | 1.89% | 1.89% | -8.14% | -12.21% | -12.30% | -12.37% |
December 31, 2023 calculation
ROA = Net income (ttm) ÷ Total assets
= $-10,298,000K ÷ $34,018,000K
= -30.27%
The Return on Assets (ROA) for Lumen Technologies Inc has shown mixed performance over the past eight quarters. In Q1 and Q2 of 2022, the ROA was relatively healthy at 3.72% and 3.46%, respectively, indicating efficient utilization of assets to generate profits. However, there was a slight drop in Q3 2022 to 3.70%.
Subsequently, the ROA decreased significantly in the following quarters, dropping into negative territory. Q1 2023 saw a decrease to -3.59%, with further declines to -29.63%, -31.66%, and -30.27% in Q2, Q3, and Q4 of 2023, respectively. This downward trend in ROA suggests that the company's profitability relative to its assets has deteriorated, potentially indicating inefficiencies in asset management or declining profitability.
Overall, Lumen Technologies Inc's ROA has experienced a substantial decline, warranting further examination of the company's operational efficiency and asset utilization to address the negative trend and improve overall performance.
Peer comparison
Dec 31, 2023