Newmont Goldcorp Corp (NEM)
Return on assets (ROA)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 3,348,000 | -2,494,000 | -506,000 | 10,000 | 2,829,000 |
| Total assets | US$ in thousands | 56,349,000 | 55,506,000 | 38,482,000 | 40,564,000 | 41,369,000 |
| ROA | 5.94% | -4.49% | -1.31% | 0.02% | 6.84% |
December 31, 2024 calculation
ROA = Net income ÷ Total assets
= $3,348,000K ÷ $56,349,000K
= 5.94%
Newmont Goldcorp Corp's return on assets (ROA) has exhibited fluctuations over the years. Starting at a solid 6.84% on December 31, 2020, the ROA declined significantly to just 0.02% by December 31, 2021. The trend continued downwards with ROA reaching -1.31% on December 31, 2022, and further dropping to -4.49% by December 31, 2023, indicating a period of underperformance where the company was not effectively utilizing its assets to generate profits. However, there was a rebound in the company's performance by December 31, 2024, with the ROA increasing to 5.94%, suggesting an improvement in asset efficiency and profitability. This variability in ROA highlights the importance of closely monitoring and analyzing an organization's asset management strategies to ensure sustainable financial performance.