EchoStar Corporation (SATS)
Operating return on assets (Operating 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 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | -304,070 | 33,968 | 216,815 | 326,557 | 401,305 | 198,566 | 223,520 | 225,053 | 210,617 | 173,651 | 189,214 | 208,616 | 217,010 | 211,475 | 185,868 | 155,332 | 112,473 | 106,162 | 95,218 | 83,396 |
| Total assets | US$ in thousands | 60,938,700 | 57,547,400 | 55,255,200 | 55,556,400 | 57,108,900 | 6,230,460 | 6,237,040 | 6,193,790 | 6,199,000 | 6,125,300 | 6,118,520 | 6,169,750 | 6,045,200 | 6,182,360 | 6,209,610 | 6,951,810 | 7,073,350 | 7,025,540 | 6,976,190 | 6,959,620 |
| Operating ROA | -0.50% | 0.06% | 0.39% | 0.59% | 0.70% | 3.19% | 3.58% | 3.63% | 3.40% | 2.83% | 3.09% | 3.38% | 3.59% | 3.42% | 2.99% | 2.23% | 1.59% | 1.51% | 1.36% | 1.20% |
December 31, 2024 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $-304,070K ÷ $60,938,700K
= -0.50%
EchoStar Corporation's operating return on assets (ROA) has shown fluctuations over the period from March 31, 2020, to December 31, 2024. The operating ROA increased steadily from 1.20% in March 2020 to a peak of 3.63% in March 2023. This upward trend indicates the company's ability to generate operating income relative to its total assets.
However, the operating ROA started declining from March 2023, reaching 0.59% by June 30, 2024, and going into negative territory at -0.50% by December 31, 2024. This decrease suggests that the company's operating income generated from its assets declined significantly, potentially signaling operational challenges or inefficiencies.
It is essential for EchoStar Corporation to investigate the reasons behind the decreasing trend in operating ROA and take corrective measures to improve operational efficiency and asset utilization to ensure sustainable profitability in the future.
Peer comparison
Dec 31, 2024