Telephone and Data Systems Inc (TDS)

Return on assets (ROA)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Net income	US$ in thousands	-500,000	62,000	156,000	226,000	121,000
Total assets	US$ in thousands	13,921,000	14,550,000	13,493,000	12,525,000	10,781,000
ROA		-3.59%	0.43%	1.16%	1.80%	1.12%

December 31, 2023 calculation

ROA = Net income ÷ Total assets
= $-500,000K ÷ $13,921,000K
= -3.59%

The return on assets (ROA) for Telephone And Data Systems, Inc. has shown a declining trend over the past five years.

In 2023, the ROA decreased significantly to -4.09%, reflecting a negative return on the company's assets. This could indicate that the company's profitability relative to its total assets worsened in that year.

In 2022, the ROA improved slightly to -0.05%, but remained negative. This suggests that there was a very small return on assets, which may not have been sufficient to cover the company's operating expenses and capital costs.

The ROA in 2021 stood at 0.87%, showing a positive return on assets. However, this was lower than the ROA in 2020, which was at 1.80%. The decrease in ROA could imply that the company's profitability relative to its assets declined in 2021.

In 2020, the ROA was 1.80%, indicating a relatively higher return on assets compared to the previous years. This could signify better efficiency in generating profits from the company's assets.

In 2019, the ROA was 1.12%, showing a positive return on assets but lower than in 2020. The decrease in ROA from 2020 to 2019 may suggest a decline in profitability relative to the company's assets.

Overall, the fluctuating trend in ROA for Telephone And Data Systems, Inc. indicates varying levels of efficiency in utilizing its assets to generate profits over the past five years. It would be essential for the company to assess the factors contributing to the negative ROA in 2023 and focus on improving its profitability in the coming years.