RPC Inc (RES)

Return on assets (ROA)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Net income	US$ in thousands	195,113	218,363	7,217	-212,192	-87,111
Total assets	US$ in thousands	1,286,840	1,129,010	864,365	790,505	1,053,220
ROA		15.16%	19.34%	0.83%	-26.84%	-8.27%

December 31, 2023 calculation

ROA = Net income ÷ Total assets
= $195,113K ÷ $1,286,840K
= 15.16%

The return on assets (ROA) for RPC, Inc. has varied significantly over the past five years. In 2023, the ROA stood at 14.92%, indicating that the company generated a return of approximately 14.92 cents on every dollar of assets. This is a decrease from the previous year when the ROA was 19.06%, suggesting a slight decline in the company's efficiency in generating profits from its assets.

The significant improvement in ROA from 2021 to 2022, where the ROA increased from 0.82% to 19.06%, reflects a substantial enhancement in the company's ability to utilize its assets more effectively to generate profits.

However, in 2020 and 2019, RPC, Inc. incurred negative ROA figures of -26.84% and -8.30% respectively, indicating that the company experienced losses during those years in relation to its total assets.

Overall, the ROA trend for RPC, Inc. shows volatility, with significant fluctuations over the five-year period. Investors and stakeholders may want to closely monitor the company's future performance to assess its ability to generate profits relative to its asset base.