ProPetro Holding Corp (PUMP)

Return on assets (ROA)

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Net income	US$ in thousands	-137,859	85,634	2,030	-54,185	-107,020
Total assets	US$ in thousands	1,223,640	1,480,310	1,335,790	1,061,240	1,050,740
ROA		-11.27%	5.78%	0.15%	-5.11%	-10.19%

December 31, 2024 calculation

ROA = Net income ÷ Total assets
= $-137,859K ÷ $1,223,640K
= -11.27%

Based on the provided data, ProPetro Holding Corp's return on assets (ROA) has shown significant variation over the past five years. In December 2020, the ROA was -10.19%, indicating that the company incurred a net loss for that period relative to its total assets. By December 2021, the ROA had improved to -5.11%, although it still reflected a negative return.

The company's performance began to turn around in December 2022, as evidenced by a positive ROA of 0.15%. This suggests that ProPetro was able to generate a modest return on its assets during that period. In the following year, December 2023, the ROA further improved to 5.78%, indicating a more substantial return relative to its asset base.

However, the positive trend was short-lived, as the ROA declined significantly to -11.27% by December 2024. This indicates that the company experienced a loss relative to its assets during that year, erasing the gains made in the previous period.

Overall, ProPetro Holding Corp's ROA has exhibited volatility, with periods of both negative and positive returns. It is essential for stakeholders to closely monitor these fluctuations and assess the company's ability to effectively utilize its assets to generate returns in the long term.