Northern Oil & Gas Inc (NOG)

Return on assets (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
Net income (ttm)	US$ in thousands	922,970	679,185	1,236,539	1,319,988	773,237	802,897	231,986	-109,841	6,362	-310,489	-556,047	-1,364,684	-906,041	-871,855	-544,470	399,129	-76,319	249,910	174,508	33,562
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
ROA		20.58%	15.78%	33.74%	39.49%	26.89%	32.49%	10.58%	-5.43%	0.42%	-24.96%	-50.93%	-156.28%	-103.89%	-85.02%	-43.10%	17.84%	-4.01%	13.14%	11.68%	2.40%

December 31, 2023 calculation

ROA = Net income (ttm) ÷ Total assets
= $922,970K ÷ $4,484,260K
= 20.58%

In analyzing Northern Oil and Gas Inc.'s return on assets (ROA) over the past eight quarters, we observe fluctuations in the company's efficiency in generating profits relative to its total assets. The ROA has been varying significantly during this period.

- In Q1 2023, Northern Oil and Gas Inc. demonstrated a high ROA of 38.66%, indicating strong profitability relative to its assets.
- This was followed by a moderately lower ROA of 33.35% in Q2 2023, still reflecting robust profitability.
- The ROA experienced a slight decline to 15.50% in Q3 2023, which may raise concerns about the company's asset utilization efficiency.
- Despite the decrease, Northern Oil and Gas Inc. achieved a rebound in Q4 2023 with an ROA of 20.58%, although it remained below the levels seen earlier in the year.

Looking back further:
- The ROA in Q4 2022 was 25.31%, showing a favorable profitability trend.
- Prior to that, Q3 and Q2 of 2022 depicted even higher ROA figures of 30.97% and 8.83%, respectively.
- However, in Q1 2022, the company experienced a negative ROA of -6.85%, which suggests inefficiency in generating profits relative to its assets during that period.

Overall, the fluctuating ROA values indicate varying levels of efficiency in utilizing assets to generate earnings for Northern Oil and Gas Inc. It is crucial for stakeholders to monitor these trends closely to assess the company's operational performance and financial health.