Talos Energy (TALO)

Operating return on assets (Operating ROA)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Operating income	US$ in thousands	209,790	736,119	374,616	-421,310	213,094
Total assets	US$ in thousands	4,816,310	3,058,630	2,766,820	2,834,550	2,589,480
Operating ROA		4.36%	24.07%	13.54%	-14.86%	8.23%

December 31, 2023 calculation

Operating ROA = Operating income ÷ Total assets
= $209,790K ÷ $4,816,310K
= 4.36%

Talos Energy Inc's operating return on assets (operating ROA) has exhibited significant fluctuations over the past five years. The operating ROA was notably high in 2022 at 24.07%, indicating that the company generated a substantial operating profit relative to its assets during that year. However, in 2020, the operating ROA turned negative, suggesting that the company experienced operational losses relative to its asset base.

The operating ROA rebounded in 2021 and remained positive at 14.19%, signifying an improvement in the company's ability to generate operating income from its assets. In 2019, the operating ROA stood at a moderate 8.70%, reflecting a decent operational performance during that year.

The significant variability in Talos Energy Inc's operating ROA over the years may indicate fluctuations in the company's operational efficiency, profitability, or asset utilization. Investors and stakeholders should closely monitor these trends to assess the company's financial health and performance over time.