Viper Energy Ut (VNOM)
Operating return on assets (Operating ROA)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 566,397 | 620,219 | 700 | 361,572 | 123,402 |
| Total assets | US$ in thousands | 5,069,040 | 3,974,090 | 2,920,370 | 3,034,020 | 2,461,380 |
| Operating ROA | 11.17% | 15.61% | 0.02% | 11.92% | 5.01% |
December 31, 2024 calculation
Operating ROA = Operating income ÷ Total assets
= $566,397K ÷ $5,069,040K
= 11.17%
The operating return on assets (ROA) for Viper Energy Ut has demonstrated fluctuations over the last five years. In December 2020, the operating ROA stood at 5.01%, displaying a moderate level of profitability generated from its operating assets. This metric significantly improved by the end of December 2021, reaching 11.92%, indicating a substantial increase in the company's efficiency in generating profits from its assets.
However, there was a sharp decline in operating ROA by December 2022, dropping to a mere 0.02%. This decline suggests that the company faced challenges in efficiently utilizing its assets to generate operating profits during that period. Despite this setback, Viper Energy Ut managed to significantly rebound by the end of December 2023, with an operating ROA of 15.61%, marking a remarkable recovery and surpassing the previous peak.
In December 2024, the operating ROA slightly decreased to 11.17%, still maintaining a relatively high level of profitability generated from operating assets compared to previous years. Overall, the fluctuation in Viper Energy Ut's operating ROA highlights the company's ability to adapt to changing market conditions and optimize its asset utilization to drive profitability.
Peer comparison
Dec 31, 2024