ONEOK Inc (OKE)
Operating return on assets (Operating ROA)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 4,072,000 | 2,807,000 | 2,596,260 | 1,361,360 | 1,914,350 |
| Total assets | US$ in thousands | 44,266,000 | 24,379,000 | 23,621,600 | 23,078,800 | 21,812,100 |
| Operating ROA | 9.20% | 11.51% | 10.99% | 5.90% | 8.78% |
December 31, 2023 calculation
Operating ROA = Operating income ÷ Total assets
= $4,072,000K ÷ $44,266,000K
= 9.20%
The operating return on assets (operating ROA) of Oneok Inc. has shown some variability over the past five years, ranging from 7.78% in 2023 to 11.08% in 2022. This ratio indicates how efficiently the company is generating operating profits from its assets.
In 2023, the operating ROA decreased to 7.78%, suggesting a lower ability to generate operating income from its assets compared to the previous year. This decrease may be attributed to changes in operating efficiency, asset management, or profitability.
Conversely, in 2022, the company achieved a relatively higher operating ROA of 11.08%, indicating improved profitability and efficiency in utilizing its assets to generate operating income.
Over the five-year period, Oneok Inc. has generally maintained its operating ROA above 8%, with some fluctuations. This indicates that the company has been able to effectively leverage its assets to generate operating profits, although there have been variations in performance from year to year.
Further analysis of the underlying factors influencing the changes in operating ROA would provide greater insight into Oneok Inc.'s operational performance and efficiency in utilizing its assets.
Peer comparison
Dec 31, 2023