Warner Music Group (WMG)
Return on assets (ROA)
| Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 435,000 | 430,000 | 551,000 | 304,000 | -475,000 |
| Total assets | US$ in thousands | 9,155,000 | 8,545,000 | 7,828,000 | 7,211,000 | 6,410,000 |
| ROA | 4.75% | 5.03% | 7.04% | 4.22% | -7.41% |
September 30, 2024 calculation
ROA = Net income ÷ Total assets
= $435,000K ÷ $9,155,000K
= 4.75%
Warner Music Group's return on assets (ROA) has experienced fluctuations in recent years. The ROA was 4.75% in 2024, down from 5.03% in 2023 but higher than the 4.22% in 2021. However, it significantly outperformed the negative ROA of -7.41% recorded in 2020. The highest ROA was observed in 2022 at 7.04%, indicating strong profitability generated per dollar of assets during that year. It is essential for Warner Music Group to maintain a positive and improving ROA to ensure efficient utilization of its assets to generate profits for its stakeholders.
Peer comparison
Sep 30, 2024
Company name
Symbol
ROA
Warner Music Group
WMG
4.75%
Live Nation Entertainment Inc
LYV
2.95%
Six Flags Entertainment Corporation
FUN
5.46%
TKO Group Holdings Inc.
TKO
-0.28%