MGM Resorts International (MGM)

Operating return on assets (Operating 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
Operating income (ttm)	US$ in thousands	1,891,497	1,470,257	54,351	2,064,423	1,439,372	1,810,115	4,748,865	2,631,175	2,278,697	1,546,282	-841,680	-2,139,970	-642,440	2,681,218	3,414,781	4,820,796	3,940,216	1,315,877	1,488,399	1,479,989
Total assets	US$ in thousands	42,368,500	42,572,500	42,905,800	43,542,200	45,692,200	47,330,200	48,432,100	38,650,000	40,899,100	41,338,300	36,776,400	37,330,800	36,494,900	37,004,800	37,471,300	39,118,900	33,876,400	31,168,900	30,813,700	31,146,900
Operating ROA		4.46%	3.45%	0.13%	4.74%	3.15%	3.82%	9.81%	6.81%	5.57%	3.74%	-2.29%	-5.73%	-1.76%	7.25%	9.11%	12.32%	11.63%	4.22%	4.83%	4.75%

December 31, 2023 calculation

Operating ROA = Operating income (ttm) ÷ Total assets
= $1,891,497K ÷ $42,368,500K
= 4.46%

MGM Resorts International's operating return on assets (operating ROA) has varied significantly over the past eight quarters. In Q4 2023, the operating ROA stood at 3.59%, indicating an increase in the company's efficiency in generating operating income from its assets. This improvement is a positive sign for the company's operational performance.

In the preceding quarter, Q3 2023, the operating ROA was considerably lower at 0.07%, suggestive of a potential dip in the company's ability to generate earnings from its assets. However, this was an improvement from the negative figures recorded in Q2 2023 (-3.28%) and Q1 2023 (-3.91%).

Further back in Q4 2022, MGM Resorts International reported an operating ROA of -4.10%, indicating a significant operational challenge in that period. The company managed to improve its operating ROA in subsequent quarters, with Q3 2022 showing an increase to -1.01%, and then turning positive in Q2 2022 (1.81%) and Q1 2022 (2.44%).

Overall, the fluctuating trend in MGM Resorts International's operating ROA over the past eight quarters suggests that the company has experienced varying levels of efficiency in generating operating income from its assets. Investors and stakeholders may need to closely monitor future financial performance to assess the company's operational effectiveness and profitability.