PG&E Corp (PCG)
Return on assets (ROA)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 2,256,000 | 1,814,000 | -88,000 | -1,304,000 | -7,642,000 |
| Total assets | US$ in thousands | 125,698,000 | 118,644,000 | 103,327,000 | 97,856,000 | 85,196,000 |
| ROA | 1.79% | 1.53% | -0.09% | -1.33% | -8.97% |
December 31, 2023 calculation
ROA = Net income ÷ Total assets
= $2,256,000K ÷ $125,698,000K
= 1.79%
The return on assets (ROA) of PG&E Corp. has varied over the past five years. In 2023, the ROA stands at 1.78%, showing an improvement from the previous year's 1.52%. This indicates that the company generated $0.0178 in profit for every dollar of assets in 2023.
Looking back, the ROA was negative in 2021 and 2020, at -0.10% and -1.35% respectively, suggesting that the company was not effectively utilizing its assets to generate profit during those years. However, there was a significant improvement in 2023 compared to the substantial loss in 2019, when the ROA was at -8.99%.
Overall, the positive trend in ROA over the past two years is a positive sign, demonstrating that PG&E Corp. has been more efficient in generating profits from its assets. However, further analysis and comparison with industry peers would provide a more comprehensive understanding of the company's performance.
Peer comparison
Dec 31, 2023