Marathon Oil Corporation (MRO)
Return on assets (ROA)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 1,554,000 | 3,612,000 | 946,000 | -1,451,000 | 480,000 |
| Total assets | US$ in thousands | 19,575,000 | 19,940,000 | 16,994,000 | 17,956,000 | 20,245,000 |
| ROA | 7.94% | 18.11% | 5.57% | -8.08% | 2.37% |
December 31, 2023 calculation
ROA = Net income ÷ Total assets
= $1,554,000K ÷ $19,575,000K
= 7.94%
The Return on Assets (ROA) for Marathon Oil Corporation has exhibited fluctuating performance over the past five years. In 2023, the ROA stands at 7.94%, showing a decrease from the previous year's 18.11%. This decrease indicates that the company's ability to generate profits from its assets has declined compared to the previous year.
Looking further back, in 2021, the ROA was 5.57%, showing an improvement from the negative ROA of -8.08% in 2020. This significant turnaround from a negative ROA to a positive one demonstrates the company's efforts to enhance its asset utilization efficiency and profitability.
In 2019, the ROA was 2.37%, indicating a moderate performance compared to the following years. Overall, the fluctuating trend in ROA suggests that Marathon Oil Corporation has experienced varying levels of success in utilizing its assets to generate profits over the past five years. Further analysis of the company's business strategies and operational efficiency is warranted to understand the factors influencing its ROA performance.
Peer comparison
Dec 31, 2023