Occidental Petroleum Corporation (OXY)

Return on assets (ROA)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Net income	US$ in thousands	4,696,000	13,304,000	2,322,000	-14,831,000	-985,000
Total assets	US$ in thousands	74,008,000	72,609,000	75,036,000	80,064,000	107,190,000
ROA		6.35%	18.32%	3.09%	-18.52%	-0.92%

December 31, 2023 calculation

ROA = Net income ÷ Total assets
= $4,696,000K ÷ $74,008,000K
= 6.35%

Occidental Petroleum Corp.'s return on assets (ROA) has shown significant variability over the past five years. In 2023, the ROA was 5.07%, indicating that the company generated a return of 5.07% on its assets during that year. This represents a decline from the previous year when the ROA was 17.11%, which suggests that the company's asset efficiency decreased in 2023 compared to 2022.

In 2021, Occidental Petroleum Corp.'s ROA was 2.02%, representing a modest return on assets. The company experienced a significant decline in 2020, with a negative ROA of -19.58%, indicating that the company incurred losses exceeding its asset base during that year. This negative ROA may raise concerns about the company's ability to effectively utilize its assets and generate returns for its shareholders.

In 2019, Occidental Petroleum Corp.'s ROA was also negative at -0.90%, indicating that the company struggled to generate positive returns from its assets during that year as well. Overall, the fluctuating ROA values suggest that Occidental Petroleum Corp. has had varying levels of asset efficiency and profitability over the past five years, potentially reflecting challenges faced by the company in managing its assets and generating returns for its stakeholders.