RXO Inc. (RXO)
Return on assets (ROA)
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | -265,020 | -263,000 | -21,000 | -11,000 | 4,039 | -1,961 | 12,039 | 53,039 | 92,000 | 138,000 | 158,000 | 149,000 | 150,000 |
| Total assets | US$ in thousands | 2,077 | 3,392,000 | 1,813,000 | 1,799,000 | 1,825,000 | 1,946,000 | 1,912,000 | 2,018,000 | 2,038,000 | 2,237,000 | 2,372,000 | 2,296,000 | 2,068,000 |
| ROA | -12,759.75% | -7.75% | -1.16% | -0.61% | 0.22% | -0.10% | 0.63% | 2.63% | 4.51% | 6.17% | 6.66% | 6.49% | 7.25% |
December 31, 2024 calculation
ROA = Net income (ttm) ÷ Total assets
= $-265,020K ÷ $2,077K
= -12,759.75%
Based on the data provided, RXO Inc.'s return on assets (ROA) has shown a declining trend over the period from December 31, 2021, to December 31, 2024. The ROA decreased from 7.25% as of December 31, 2021, to -12,759.75% as of December 31, 2024.
The significant drop in ROA indicates that RXO Inc.'s profitability relative to its total assets has deteriorated drastically over the period under review. A negative ROA suggests that the company's net income is insufficient to cover its total asset base, leading to potential financial distress or inefficiency in asset utilization.
The negative ROA figures in the latter part of the period may be a cause for concern, indicating possible financial challenges or inefficiencies in the company's operations. It is essential for stakeholders to further investigate the reasons behind the declining ROA and potential strategies for improvement to ensure the company's financial health and sustainability.
Peer comparison
Dec 31, 2024