Telephone and Data Systems Inc (TDS)
Return on assets (ROA)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | -28,000 | -500,000 | 62,000 | 156,000 | 226,000 |
| Total assets | US$ in thousands | 13,683,000 | 13,921,000 | 14,550,000 | 13,493,000 | 12,525,000 |
| ROA | -0.20% | -3.59% | 0.43% | 1.16% | 1.80% |
December 31, 2024 calculation
ROA = Net income ÷ Total assets
= $-28,000K ÷ $13,683,000K
= -0.20%
The Return on Assets (ROA) for Telephone and Data Systems Inc has displayed a declining trend over the five-year period from 2020 to 2024. Starting at 1.80% in December 31, 2020, the ROA decreased to 1.16% by December 31, 2021, indicating a potential decrease in the company's efficiency in generating profits from its assets.
This downward trend continued as the ROA further declined to 0.43% by December 31, 2022, and notably turned negative at -3.59% by December 31, 2023. A negative ROA suggests that the company's assets were not effectively utilized to generate profits, indicating potential operational challenges or inefficiencies within the organization.
The negative trend in ROA moderated slightly to -0.20% by December 31, 2024, but it still remains below zero, indicating ongoing challenges in asset utilization and profitability for Telephone and Data Systems Inc. This declining ROA trend warrants further investigation into the company's operational performance and asset management strategies to address the deteriorating profitability levels.
Peer comparison
Dec 31, 2024