Targa Resources Inc (TRGP)

Operating return on assets (Operating ROA)

		Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020
Operating income (ttm)	US$ in thousands	2,786,600	2,713,200	2,490,100	2,455,700	2,618,000	2,542,300	2,467,200	2,270,000	1,729,100	1,086,100	1,022,600	816,500	864,800	1,221,600	1,150,600	1,117,900	-1,303,700	-1,592,600	-1,846,500	-1,945,900
Total assets	US$ in thousands	22,734,100	21,903,800	21,264,200	20,846,100	22,026,900	20,189,600	19,461,800	19,025,500	19,560,000	19,389,900	15,334,300	15,295,400	15,208,200	15,972,700	15,411,800	15,648,400	15,875,700	16,052,100	15,965,400	16,026,800
Operating ROA		12.26%	12.39%	11.71%	11.78%	11.89%	12.59%	12.68%	11.93%	8.84%	5.60%	6.67%	5.34%	5.69%	7.65%	7.47%	7.14%	-8.21%	-9.92%	-11.57%	-12.14%

December 31, 2024 calculation

Operating ROA = Operating income (ttm) ÷ Total assets
= $2,786,600K ÷ $22,734,100K
= 12.26%

The operating return on assets (operating ROA) of Targa Resources Inc has shown a consistent improvement over the review period from March 31, 2020, to December 31, 2024. The company's operating ROA started at a negative value in March 2020 and gradually improved to positive values by March 2021, indicating enhanced operational efficiency and profitability.

The operating ROA continued to show positive trends, reaching its peak in September 2024 at 12.39%, and maintaining a relatively strong level of 12.26% by December 2024. This upward trend suggests that Targa Resources Inc has been effectively utilizing its assets to generate operating income, leading to increased profitability.

Overall, the improving operating ROA of Targa Resources Inc reflects the company's ability to generate higher returns from its operational activities relative to its asset base, indicating improved efficiency and financial performance.