Ovintiv Inc (OVV)
Return on assets (ROA)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 1,125,000 | 2,085,000 | 3,637,000 | 1,416,000 | -6,097,000 |
| Total assets | US$ in thousands | 19,254,000 | 19,987,000 | 15,056,000 | 14,055,000 | 14,469,000 |
| ROA | 5.84% | 10.43% | 24.16% | 10.07% | -42.14% |
December 31, 2024 calculation
ROA = Net income ÷ Total assets
= $1,125,000K ÷ $19,254,000K
= 5.84%
Based on the provided data, Ovintiv Inc's return on assets (ROA) has shown varying trends over the years.
In 2020, the ROA was notably low at -42.14%, suggesting that the company's assets were not effectively utilized to generate profits.
However, the company demonstrated a significant improvement in 2021, with the ROA increasing to 10.07%, indicating a better utilization of assets to generate profits.
By the end of 2022, Ovintiv's ROA further improved to 24.16%, indicating a more efficient use of assets to generate higher returns.
In 2023, the ROA slightly decreased to 10.43%, suggesting a potential slowdown in asset efficiency compared to the previous year.
Lastly, in 2024, the ROA declined to 5.84%, indicating a further decrease in the company's ability to generate profits relative to its assets.
Overall, the trend in Ovintiv Inc's ROA shows fluctuations in asset efficiency and profitability over the years, reflecting changes in the company's operational and financial performance.
Peer comparison
Dec 31, 2024