The Mosaic Company (MOS)
Return on assets (ROA)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 174,900 | 1,164,900 | 3,582,800 | 1,630,600 | 666,100 |
| Total assets | US$ in thousands | 22,924,000 | 23,032,800 | 23,386,000 | 22,036,400 | 19,789,800 |
| ROA | 0.76% | 5.06% | 15.32% | 7.40% | 3.37% |
December 31, 2024 calculation
ROA = Net income ÷ Total assets
= $174,900K ÷ $22,924,000K
= 0.76%
The return on assets (ROA) of The Mosaic Company has shown fluctuations over the past five years. The ROA was 3.37% on December 31, 2020, indicating that the company generated 3.37 cents of profit for every dollar of assets it owns. Over the next two years, the ROA increased significantly to 7.40% by December 31, 2021, and further rose to 15.32% by December 31, 2022. This sharp increase suggests that the company efficiently utilized its assets to generate higher profits during this period.
However, the ROA declined to 5.06% by December 31, 2023, indicating a decrease in profitability relative to the assets owned. This could be a result of various factors such as increased asset base without a proportionate increase in earnings. Furthermore, the ROA dropped significantly to 0.76% by December 31, 2024, reflecting a substantial decline in the company's ability to generate profits from its assets.
Overall, the trend in The Mosaic Company's ROA indicates both positive and negative fluctuations in its profitability relative to its asset base. It is essential for the company to closely monitor and manage its assets effectively to ensure sustainable profitability in the long term.
Peer comparison
Dec 31, 2024