Marathon Digital Holdings Inc (MARA)
Return on assets (ROA)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 541,253 | 261,173 | -694,022 | -37,096 | -10,448 |
| Total assets | US$ in thousands | 6,801,320 | 1,990,970 | 1,195,240 | 1,444,330 | 313,251 |
| ROA | 7.96% | 13.12% | -58.07% | -2.57% | -3.34% |
December 31, 2024 calculation
ROA = Net income ÷ Total assets
= $541,253K ÷ $6,801,320K
= 7.96%
The return on assets (ROA) for Marathon Digital Holdings Inc has shown a mixed performance over the analyzed period.
At the end of December 31, 2020, the ROA was -3.34%, indicating that the company generated a negative return for every dollar of assets held. This improved slightly to -2.57% by December 31, 2021, but remained negative overall.
The ROA experienced a significant decline to -58.07% by December 31, 2022, which signals a substantial decrease in the company's ability to generate earnings from its assets. However, in the following years, there was a notable recovery in the ROA. By December 31, 2023, the ROA surged to 13.12%, indicating that the company was able to generate a positive return on its assets.
The positive trend continued into December 31, 2024, with the ROA further increasing to 7.96%. This suggests that Marathon Digital Holdings Inc has been able to efficiently utilize its assets to generate earnings for its shareholders.
Overall, the analysis indicates a recent improvement in the company's ability to generate profits relative to its asset base, as reflected in the increasing ROA values from 2022 onwards. However, continued monitoring of ROA performance is essential to assess the company's ongoing efficiency in utilizing its assets to create value for its stakeholders.
Peer comparison
Dec 31, 2024