Northern Oil & Gas Inc (NOG)

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	1,121,862	805,352	1,367,551	1,402,864	853,191	875,943	298,270	-46,754	77,959	-241,083	-486,700	-1,296,488	-841,242	-775,011	-435,258	541,689	55,509	472,843	387,340	311,419
Total assets	US$ in thousands	4,484,260	4,304,670	3,664,750	3,342,870	2,875,180	2,471,480	2,192,240	2,024,470	1,522,870	1,244,060	1,091,810	873,243	872,089	1,025,520	1,263,270	2,237,390	1,905,460	1,902,010	1,494,390	1,395,780
Operating ROA		25.02%	18.71%	37.32%	41.97%	29.67%	35.44%	13.61%	-2.31%	5.12%	-19.38%	-44.58%	-148.47%	-96.46%	-75.57%	-34.45%	24.21%	2.91%	24.86%	25.92%	22.31%

December 31, 2023 calculation

Operating ROA = Operating income (ttm) ÷ Total assets
= $1,121,862K ÷ $4,484,260K
= 25.02%

The operating return on assets (operating ROA) for Northern Oil and Gas Inc. has shown significant fluctuation throughout the past eight quarters. In Q4 2023, operating ROA stood at 25.02%, representing a decrease from the previous quarter's 18.71%.

The company experienced a peak in Q1 2023 with an operating ROA of 41.97%, followed by a significant decrease to 37.32% in Q2 2023. Q3 2022 also demonstrated a strong performance with an operating ROA of 35.44%.

Notably, there was a concerning drop in performance in Q1 2022, where the operating ROA fell to -2.31%, indicating an operating loss during that period. The recovery in subsequent quarters was gradual, culminating in positive performance in the recent quarters.

Overall, Northern Oil and Gas Inc. has experienced fluctuations in its operating ROA, signaling varying levels of operational efficiency and profitability over the recent quarters. It is essential for the company to assess the factors contributing to these fluctuations and implement strategies to maintain and improve its operating ROA performance in the future.