Exxon Mobil Corp (XOM)
Operating return on assets (Operating ROA)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 314,845,000 | 390,705,000 | 261,404,000 | 154,366,000 | 238,636,000 |
| Total assets | US$ in thousands | 376,317,000 | 369,067,000 | 338,923,000 | 332,750,000 | 362,597,000 |
| Operating ROA | 83.66% | 105.86% | 77.13% | 46.39% | 65.81% |
December 31, 2023 calculation
Operating ROA = Operating income ÷ Total assets
= $314,845,000K ÷ $376,317,000K
= 83.66%
Exxon Mobil Corp.'s operating return on assets (operating ROA) has varied significantly over the past five years. In 2023, the operating ROA stood at 12.74%, showing a decrease from 18.31% in 2022. This decline indicates that the company's operating profit generated from its assets decreased relative to the prior year.
Comparing the 2023 operating ROA to the figures from 2021 and 2020, we observe an improvement in the company's performance. In 2021, the operating ROA was 7.76%, indicating a noticeable increase in profitability from the prior year when it was -8.49%. The negative operating ROA in 2020 suggests that the company experienced operating losses compared to its asset base.
Furthermore, compared to the operating ROA in 2019 of 4.60%, Exxon Mobil Corp. has shown a positive trend in recent years, with the 2022 operating ROA being the highest in the period under review. Overall, fluctuations in Exxon Mobil Corp.'s operating ROA reflect changes in the company's ability to generate operating income relative to its assets, highlighting the importance of operational efficiency and asset utilization.
Peer comparison
Dec 31, 2023