T-Mobile US Inc (TMUS)
Return on assets (ROA)
Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
---|---|---|---|---|---|---|
Net income | US$ in thousands | 11,339,000 | 8,317,000 | 2,590,000 | 3,024,000 | 3,064,000 |
Total assets | US$ in thousands | 208,035,000 | 207,682,000 | 211,338,000 | 206,563,000 | 200,162,000 |
ROA | 5.45% | 4.00% | 1.23% | 1.46% | 1.53% |
December 31, 2024 calculation
ROA = Net income ÷ Total assets
= $11,339,000K ÷ $208,035,000K
= 5.45%
Based on the provided data, T-Mobile US Inc's return on assets (ROA) has exhibited varying trends over the years. The ROA decreased from 1.53% as of December 31, 2020, to 1.46% by December 31, 2021. Subsequently, there was a further decline to 1.23% by December 31, 2022.
However, starting from December 31, 2023, there was a notable improvement in ROA, surging to 4.00%. This significant increase was followed by a substantial rise to 5.45% by December 31, 2024.
The fluctuation in ROA indicates changes in T-Mobile US Inc's efficiency in generating profit from its assets. The company saw a dip in ROA in the initial years but managed to improve significantly in the later years, suggesting enhanced asset utilization and profitability. It is essential for investors and stakeholders to monitor ROA trends as it reflects the company's ability to generate earnings relative to its total assets.