News Corp A (NWSA)
Return on assets (ROA)
Jun 30, 2025 | Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | ||
---|---|---|---|---|---|---|
Net income | US$ in thousands | 464,000 | 266,000 | 149,000 | 623,000 | 330,000 |
Total assets | US$ in thousands | 15,504,000 | 16,684,000 | 16,921,000 | 17,221,000 | 16,771,000 |
ROA | 2.99% | 1.59% | 0.88% | 3.62% | 1.97% |
June 30, 2025 calculation
ROA = Net income ÷ Total assets
= $464,000K ÷ $15,504,000K
= 2.99%
The return on assets (ROA) for News Corp A demonstrates notable fluctuations over the reporting periods from June 30, 2021, to June 30, 2025. As of June 30, 2021, the ROA stood at 1.97%, indicating a modest ability to generate net income from its assets. This figure increased significantly in the following year, reaching 3.62% as of June 30, 2022, suggesting improved efficiency and profitability in utilizing its asset base during that period.
However, the ROA experienced a pronounced decline by June 30, 2023, dropping to 0.88%. This substantial decrease could reflect challenges such as reduced net income relative to total assets, potentially due to lower profit margins, increased asset base without a commensurate rise in earnings, or adverse operational factors. Such a decline warrants further investigation to identify underlying causes, whether they be strategic, operational, or market-driven.
Subsequently, the ROA shows signs of recovery: rising to 1.59% by June 30, 2024, and further improving to 2.99% by June 30, 2025. These upward movements suggest a rebound in the company's ability to leverage its assets effectively and generate earnings. The trend indicates a potential stabilization or strategic adjustment leading to enhanced operational efficiency or profitability in the later periods.
In summary, the ROA has exhibited considerable volatility over the analyzed years, with a peak in 2022 followed by a significant dip in 2023, and a subsequent recovery towards 2025. The overall pattern underscores the importance of monitoring underlying factors influencing asset utilization and profitability to understand the company's financial health and operational effectiveness comprehensively.
Peer comparison
Jun 30, 2025