Tesla Inc (TSLA)
Return on assets (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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | 7,091,000 | 12,702,000 | 12,388,000 | 13,613,000 | 14,997,000 | 10,756,000 | 12,195,000 | 11,751,000 | 12,556,000 | 11,190,000 | 9,516,000 | 8,399,000 | 5,519,000 | 3,468,000 | 2,181,000 | 1,143,000 | 721,000 | 556,000 | 368,000 | -144,000 |
| Total assets | US$ in thousands | 122,070,000 | 119,852,000 | 112,832,000 | 109,226,000 | 106,618,000 | 93,941,000 | 90,591,000 | 86,833,000 | 82,338,000 | 74,426,000 | 68,513,000 | 66,038,000 | 62,131,000 | 57,834,000 | 55,146,000 | 52,972,000 | 52,148,000 | 45,691,000 | 38,135,000 | 37,250,000 |
| ROA | 5.81% | 10.60% | 10.98% | 12.46% | 14.07% | 11.45% | 13.46% | 13.53% | 15.25% | 15.04% | 13.89% | 12.72% | 8.88% | 6.00% | 3.95% | 2.16% | 1.38% | 1.22% | 0.96% | -0.39% |
December 31, 2024 calculation
ROA = Net income (ttm) ÷ Total assets
= $7,091,000K ÷ $122,070,000K
= 5.81%
Tesla Inc's return on assets (ROA) has shown a fluctuating trend over the past few years, indicating varying levels of efficiency in generating profits from its assets. The ROA started at a negative 0.39% in March 2020, signaling initial challenges in asset utilization. However, there was a notable turnaround in profitability as the ROA increased to 15.25% by December 2022, showcasing significant improvement in asset management efficiency.
From March 2023 to December 2024, the ROA fluctuated between 10.60% and 15.25%. This fluctuation suggests that Tesla's profitability relative to its total assets experienced some volatility during this period, possibly due to changes in the company's operational performance or asset utilization strategies.
Overall, the upward trend in ROA from 2020 to 2022 followed by some variability in the subsequent years indicates that Tesla has been effective in enhancing its profitability per unit of asset, but also faces challenges in maintaining consistent performance in this regard. Management should continue to monitor and optimize the utilization of assets to sustain or further improve the ROA in the future.
Peer comparison
Dec 31, 2024