Weatherford International PLC (WFRD)
Return on assets (ROA)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 506,000 | 417,000 | 26,000 | -450,000 | -1,921,000 |
| Total assets | US$ in thousands | 5,159,000 | 5,068,000 | 4,720,000 | 4,774,000 | 5,434,000 |
| ROA | 9.81% | 8.23% | 0.55% | -9.43% | -35.35% |
December 31, 2024 calculation
ROA = Net income ÷ Total assets
= $506,000K ÷ $5,159,000K
= 9.81%
The Return on Assets (ROA) for Weatherford International PLC has shown a significant improvement over the years based on the provided data. In December 31, 2020, the ROA was at a low of -35.35%, indicating that the company was not effectively utilizing its assets to generate profit. By December 31, 2021, the ROA improved to -9.43%, still negative but moving in a positive direction.
Subsequently, in December 31, 2022, Weatherford International PLC's ROA turned positive at 0.55%, indicating a shift towards efficiently generating profit from its assets. The trend continued to improve as the ROA for December 31, 2023, increased to 8.23%, reflecting the company's better utilization of its assets to generate returns.
The most recent data point for December 31, 2024, shows a further improvement in the ROA to 9.81%, indicating that Weatherford International PLC has been effectively maximizing its asset efficiency to drive profitability.
Overall, the upward trend in Weatherford International PLC's Return on Assets (ROA) showcases the company's progress in enhancing asset utilization and generating higher returns relative to its asset base over the years.
Peer comparison
Dec 31, 2024