EchoStar Corporation (SATS)
Return on assets (ROA)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | -1,702,060 | 166,548 | 62,721 | -51,904 | -62,917 |
| Total assets | US$ in thousands | 57,108,900 | 58,748,300 | 6,045,200 | 7,073,350 | 7,154,300 |
| ROA | -2.98% | 0.28% | 1.04% | -0.73% | -0.88% |
December 31, 2023 calculation
ROA = Net income ÷ Total assets
= $-1,702,060K ÷ $57,108,900K
= -2.98%
Based on the data provided, EchoStar Corporation's Return on Assets (ROA) has varied over the past five years. The ROA was negative in the most recent year, standing at -2.98% as of December 31, 2023. This suggests that the company's net income generated from its assets was insufficient to cover its total assets, indicating a potential efficiency issue in asset utilization.
In the preceding years, the ROA showed a mixed performance. In 2022, the ROA improved to 0.28%, indicating a small positive return on assets. The year 2021 saw a further increase in ROA to 1.04%, reflecting a better utilization of assets to generate profits. However, in 2020 and 2019, the ROA was negative, indicating that the company faced challenges in generating profits relative to its asset base during those years.
Overall, the fluctuating ROA values suggest that EchoStar Corporation's asset efficiency and profitability have been inconsistent over the past five years. It is essential for the company to assess and address the factors impacting its ROA to enhance its operational effectiveness and financial performance.
Peer comparison
Dec 31, 2023