Exxon Mobil Corp (XOM)
Return on assets (ROA)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 33,680,000 | 36,010,000 | 55,740,000 | 23,040,000 | -22,440,000 |
| Total assets | US$ in thousands | 453,475,000 | 376,317,000 | 369,067,000 | 338,923,000 | 332,750,000 |
| ROA | 7.43% | 9.57% | 15.10% | 6.80% | -6.74% |
December 31, 2024 calculation
ROA = Net income ÷ Total assets
= $33,680,000K ÷ $453,475,000K
= 7.43%
Exxon Mobil Corp's return on assets (ROA) has shown a fluctuating trend over the analyzed period. As of December 31, 2020, the ROA was negative at -6.74%, indicating that the company's assets were not generating optimal returns. However, by December 31, 2021, Exxon Mobil Corp was able to turn this around, achieving an ROA of 6.80%, signifying a positive return on its assets.
The upward trend continued in 2022, with a significant improvement in ROA to 15.10%. This suggests that Exxon Mobil Corp was more efficient in utilizing its assets to generate profits. In the following years, the ROA remained relatively strong at 9.57% in 2023 and 7.43% in 2024.
Overall, Exxon Mobil Corp's ROA improved notably from negative figures to positive double-digit percentages, indicating enhanced asset utilization and profitability. However, the slight decrease in ROA in 2024 compared to the previous year may warrant further investigation into the company's asset management strategies to sustain or enhance returns in the future.
Peer comparison
Dec 31, 2024