Live Nation Entertainment Inc (LYV)
Return on assets (ROA)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 896,287 | 563,280 | 409,193 | -608,786 | -1,827,790 |
| Total assets | US$ in thousands | 19,638,800 | 19,074,000 | 16,460,800 | 14,402,300 | 10,589,300 |
| ROA | 4.56% | 2.95% | 2.49% | -4.23% | -17.26% |
December 31, 2024 calculation
ROA = Net income ÷ Total assets
= $896,287K ÷ $19,638,800K
= 4.56%
Based on the data provided, Live Nation Entertainment Inc's return on assets (ROA) has shown significant improvement over the years. The ROA was recorded at -17.26% as of December 31, 2020, indicating that the company's assets were not efficiently utilized to generate profit. However, there was a notable turnaround in the following years, with the ROA improving to -4.23% as of December 31, 2021.
The positive trajectory continued into the subsequent years, with the ROA increasing to 2.49% as of December 31, 2022, 2.95% as of December 31, 2023, and reaching 4.56% as of December 31, 2024. This upward trend suggests that Live Nation Entertainment Inc has been able to enhance its profitability relative to its asset base over time.
Overall, the improving ROA indicates that the company has become more efficient in generating profits from its assets, which may be attributed to better operational performance, strategic investments, or effective cost management strategies. This positive trend is a favorable indication of Live Nation Entertainment Inc's financial performance and management's effectiveness in utilizing its assets to drive profitability.
Peer comparison
Dec 31, 2024