Warner Music Group (WMG)
Return on assets (ROA)
| Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | Sep 30, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 430,000 | 551,000 | 304,000 | -475,000 | 256,000 |
| Total assets | US$ in thousands | 8,545,000 | 7,828,000 | 7,211,000 | 6,410,000 | 6,017,000 |
| ROA | 5.03% | 7.04% | 4.22% | -7.41% | 4.25% |
September 30, 2023 calculation
ROA = Net income ÷ Total assets
= $430,000K ÷ $8,545,000K
= 5.03%
Warner Music Group's Return on Assets (ROA) has displayed some fluctuations over the past five years. In 2023, the ROA stood at 5.03%, marking a decrease from the previous year's 7.04%. Despite this decline, the ROA is still positive, indicating that the company generated a profit from its assets.
Comparing the current ROA to the figures from 2021 and 2019 reveals an improvement in performance over the long term. In 2021, the ROA was 4.22%, showing a notable increase from the negative ROA of -7.41% in 2020. This positive trend suggests that Warner Music Group has been more efficient in generating profits from its assets over the past three years.
Overall, Warner Music Group's ROA has demonstrated resilience and a positive trajectory, showcasing the company's ability to effectively utilize its assets to generate returns for its shareholders.
Peer comparison
Sep 30, 2023