Analysis of Profitability Ratios
Quarterly Data
Profitability ratios measure the company ability to generate profitable sales from its resources (assets).
Profitability Ratios (Summary)
Anadarko Petroleum Corp., profitability ratios (quarterly data)
Based on: 10-Q (reporting date: 2017-09-30), 10-Q (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31), 10-K (reporting date: 2016-12-31), 10-Q (reporting date: 2016-09-30), 10-Q (reporting date: 2016-06-30), 10-Q (reporting date: 2016-03-31), 10-K (reporting date: 2015-12-31), 10-Q (reporting date: 2015-09-30), 10-Q (reporting date: 2015-06-30), 10-Q (reporting date: 2015-03-31), 10-K (reporting date: 2014-12-31), 10-Q (reporting date: 2014-09-30), 10-Q (reporting date: 2014-06-30), 10-Q (reporting date: 2014-03-31), 10-K (reporting date: 2013-12-31), 10-Q (reporting date: 2013-09-30), 10-Q (reporting date: 2013-06-30), 10-Q (reporting date: 2013-03-31).
The financial indicators reveal a challenging period marked by a significant downturn in profitability and returns over the examined quarters.
- Gross Profit Margin
- The gross profit margin remained relatively stable around 80% through 2013 and 2014 but began a steady decline starting in early 2015. It fell from approximately 76.69% in the first quarter of 2015 to around 62.82% in mid-2016. Subsequently, a mild recovery was observed, with the margin increasing to about 68.32% by mid-2017, though it did not return to previous highs.
- Operating Profit Margin
- This metric showed volatility with a peak in 2014 reaching above 36%. However, from 2015 onward, there was a marked and continuous decline, turning negative in the first quarter of 2015 and worsening substantially to nearly -93% by the end of 2015. The margin remained negative throughout 2016 and 2017, though losses diminished somewhat toward the latter period, indicating ongoing operational difficulties.
- Net Profit Margin
- Initially positive in early years with peaks above 12%, net margin turned negative starting in early 2014 and deteriorated markedly after 2014. It deepened to more than -70% by late 2015, reflecting severe net losses. Despite some improvement thereafter, it remained deeply negative through 2016 and 2017, showing sustained financial strain.
- Return on Equity (ROE)
- ROE followed a similar trajectory to net profit margin. Positive in 2013 (around 7-8%), it turned negative in early 2014 and worsened significantly, reaching below -50% by late 2015, indicative of substantial erosion in shareholder value. Although there was partial recovery afterward, the ratio stayed negative through mid-2017, highlighting continued challenges in generating equity returns.
- Return on Assets (ROA)
- The return on assets remained modestly positive through 2013 but declined to negative territory from 2014. It bottomed out near -14.4% by the end of 2015, reflecting poor asset utilization amid operational losses. Gradual improvement followed, yet returns did not recover to positive values, remaining negative up to the third quarter of 2017.
In summary, the company experienced a notable decline in all key profitability and efficiency ratios beginning in 2014 through 2016, with gross profit margin declining moderately and operating and net margins exhibiting significant losses. Returns on equity and assets also turned negative and deteriorated sharply before showing signs of limited recovery by mid-2017. These trends suggest substantial operational and financial challenges impacting profitability and asset utilization during the period analyzed.
Return on Sales
Return on Investment
Gross Profit Margin
Anadarko Petroleum Corp., gross profit margin calculation (quarterly data)
Based on: 10-Q (reporting date: 2017-09-30), 10-Q (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31), 10-K (reporting date: 2016-12-31), 10-Q (reporting date: 2016-09-30), 10-Q (reporting date: 2016-06-30), 10-Q (reporting date: 2016-03-31), 10-K (reporting date: 2015-12-31), 10-Q (reporting date: 2015-09-30), 10-Q (reporting date: 2015-06-30), 10-Q (reporting date: 2015-03-31), 10-K (reporting date: 2014-12-31), 10-Q (reporting date: 2014-09-30), 10-Q (reporting date: 2014-06-30), 10-Q (reporting date: 2014-03-31), 10-K (reporting date: 2013-12-31), 10-Q (reporting date: 2013-09-30), 10-Q (reporting date: 2013-06-30), 10-Q (reporting date: 2013-03-31).
1 Q3 2017 Calculation
Gross profit margin = 100
× (Gross profitQ3 2017
+ Gross profitQ2 2017
+ Gross profitQ1 2017
+ Gross profitQ4 2016)
÷ (Sales revenuesQ3 2017
+ Sales revenuesQ2 2017
+ Sales revenuesQ1 2017
+ Sales revenuesQ4 2016)
= 100 × (1,735 + 1,598 + 2,040 + 1,787)
÷ (2,610 + 2,419 + 2,898 + 2,577)
= 68.16%
- Gross Profit Trends
- The gross profit demonstrates a fluctuating pattern over the observed periods. From early 2013 through 2014, gross profit increased, reaching a peak within this timeframe. However, starting in early 2015, there is a marked decline, with values hitting a low point in the first quarter of 2016. After that, the gross profit shows gradual recovery towards the end of 2016 and stabilizes with mild fluctuations into 2017.
- Sales Revenues Evolution
- Sales revenues follow a somewhat similar pattern as gross profit, rising steadily from 2013 up to late 2014 before entering a downward trajectory. From early 2015, revenues drop significantly, bottoming out around the first quarter of 2016. Subsequently, there is a steady uptick through 2016 and into 2017, though the figures remain below the earlier peak levels seen in 2014.
- Gross Profit Margin Behavior
- The gross profit margin starts very strong, consistently near 80% for the years 2013 and 2014. However, starting in 2015, it declines steadily reaching a low point around mid-2016 at approximately 62.8%. Following this trough, the margin gradually improves, approaching around 68% by late 2017. Despite the recovery, the margin does not return to the high levels observed in the earlier periods.
- Overall Insights
- The data indicates that the company experienced robust sales and gross profit until late 2014, after which there was a pronounced decline possibly linked to market or operational challenges. The gross profit margin's decline suggests either increased cost pressures or reduced pricing power during this period. Beginning in 2016, signs of recovery are evident in both sales revenue and gross profit margins, signaling improved operational efficiency or market conditions. Nevertheless, neither sales nor margin values fully revert to their previous highs by the end of the observed timeline.
Operating Profit Margin
Anadarko Petroleum Corp., operating profit margin calculation (quarterly data)
| Sep 30, 2017 | Jun 30, 2017 | Mar 31, 2017 | Dec 31, 2016 | Sep 30, 2016 | Jun 30, 2016 | Mar 31, 2016 | Dec 31, 2015 | Sep 30, 2015 | Jun 30, 2015 | Mar 31, 2015 | Dec 31, 2014 | Sep 30, 2014 | Jun 30, 2014 | Mar 31, 2014 | Dec 31, 2013 | Sep 30, 2013 | Jun 30, 2013 | Mar 31, 2013 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||||
| Operating income (loss) | (775) | (125) | (110) | (610) | (793) | (332) | (864) | (2,142) | (2,549) | 90) | (4,208) | (479) | 1,698) | 1,209) | 2,975) | 215) | 689) | 1,140) | 1,289) | ||||||
| Sales revenues | 2,610) | 2,419) | 2,898) | 2,577) | 2,251) | 1,985) | 1,634) | 2,034) | 2,230) | 2,637) | 2,585) | 3,422) | 4,230) | 4,385) | 4,338) | 3,920) | 3,789) | 3,440) | 3,718) | ||||||
| Profitability Ratio | |||||||||||||||||||||||||
| Operating profit margin1 | -15.42% | -16.15% | -19.00% | -30.77% | -52.26% | -74.68% | -64.03% | -92.86% | -65.72% | -22.52% | -12.17% | 33.00% | 36.13% | 30.96% | 32.41% | 22.42% | 25.11% | 26.95% | 17.00% | ||||||
| Benchmarks | |||||||||||||||||||||||||
| Operating Profit Margin, Competitors2 | |||||||||||||||||||||||||
| Chevron Corp. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
| ConocoPhillips | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
| Exxon Mobil Corp. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
Based on: 10-Q (reporting date: 2017-09-30), 10-Q (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31), 10-K (reporting date: 2016-12-31), 10-Q (reporting date: 2016-09-30), 10-Q (reporting date: 2016-06-30), 10-Q (reporting date: 2016-03-31), 10-K (reporting date: 2015-12-31), 10-Q (reporting date: 2015-09-30), 10-Q (reporting date: 2015-06-30), 10-Q (reporting date: 2015-03-31), 10-K (reporting date: 2014-12-31), 10-Q (reporting date: 2014-09-30), 10-Q (reporting date: 2014-06-30), 10-Q (reporting date: 2014-03-31), 10-K (reporting date: 2013-12-31), 10-Q (reporting date: 2013-09-30), 10-Q (reporting date: 2013-06-30), 10-Q (reporting date: 2013-03-31).
1 Q3 2017 Calculation
Operating profit margin = 100
× (Operating income (loss)Q3 2017
+ Operating income (loss)Q2 2017
+ Operating income (loss)Q1 2017
+ Operating income (loss)Q4 2016)
÷ (Sales revenuesQ3 2017
+ Sales revenuesQ2 2017
+ Sales revenuesQ1 2017
+ Sales revenuesQ4 2016)
= 100 × (-775 + -125 + -110 + -610)
÷ (2,610 + 2,419 + 2,898 + 2,577)
= -15.42%
2 Click competitor name to see calculations.
- Operating Income (Loss)
- The operating income exhibited a declining trend starting from a positive level of 1,289 million USD at the end of the first quarter 2013, reaching a peak of 2,975 million USD in the first quarter of 2014. This was followed by significant volatility and a pronounced downward trajectory. By the end of 2014, the company reported a negative operating income of -479 million USD. This negative trend intensified through 2015 and 2016, with operating losses reaching as high as -2,549 million USD in the third quarter of 2015 and remaining negative thereafter. The losses, although fluctuating, persisted through to the third quarter of 2017, indicating ongoing operational challenges during this period.
- Sales Revenues
- Sales revenues showed growth from 3,718 million USD in the first quarter of 2013 to a peak of 4,385 million USD in the second quarter of 2014. Following this peak, revenues decreased sharply, particularly during 2015, dropping to a low of 2,034 million USD by the fourth quarter of 2015. After this decline, revenues stabilized somewhat but remained significantly below peak levels, fluctuating between approximately 1,634 and 2,898 million USD through the third quarter of 2017. This pattern suggests the company faced market or volume pressures impacting revenue generation post-2014.
- Operating Profit Margin
- The operating profit margin followed a similar pattern to operating income, starting with a healthy margin range between 17% and approximately 36% from 2013 through early 2014. Starting from the fourth quarter of 2014, the margin turned negative, reflecting operating losses. The margin deteriorated sharply in 2015, reaching an extreme low of -92.86% in the fourth quarter, which indicates that operating losses drastically exceeded sales revenues during this time. Although there was a modest recovery post-2015, margins remained negative consistently through 2016 and into 2017, indicating sustained challenges affecting profitability despite occasional revenue improvements.
- Overall Trends and Insights
- The data reveals a period of strong operational performance and revenue growth up to early 2014, followed by a marked decline in both operating income and margins beginning in late 2014. The sharp deterioration in profitability coincided with a steep drop in sales revenue during 2015. Although revenues showed some recovery in 2016 and 2017, operating income and margins did not return to positive territory, remaining persistently negative. This suggests structural or market challenges impacting cost efficiency or pricing power, leading to sustained losses despite revenue stabilization efforts. The company's financials over this timeframe reflect significant volatility and a need for operational adjustment to restore profitability.
Net Profit Margin
Anadarko Petroleum Corp., net profit margin calculation (quarterly data)
| Sep 30, 2017 | Jun 30, 2017 | Mar 31, 2017 | Dec 31, 2016 | Sep 30, 2016 | Jun 30, 2016 | Mar 31, 2016 | Dec 31, 2015 | Sep 30, 2015 | Jun 30, 2015 | Mar 31, 2015 | Dec 31, 2014 | Sep 30, 2014 | Jun 30, 2014 | Mar 31, 2014 | Dec 31, 2013 | Sep 30, 2013 | Jun 30, 2013 | Mar 31, 2013 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||||
| Net income (loss) attributable to common stockholders | (699) | (415) | (318) | (515) | (830) | (692) | (1,034) | (1,250) | (2,235) | 61) | (3,268) | (395) | 1,087) | 227) | (2,669) | (770) | 182) | 929) | 460) | ||||||
| Sales revenues | 2,610) | 2,419) | 2,898) | 2,577) | 2,251) | 1,985) | 1,634) | 2,034) | 2,230) | 2,637) | 2,585) | 3,422) | 4,230) | 4,385) | 4,338) | 3,920) | 3,789) | 3,440) | 3,718) | ||||||
| Profitability Ratio | |||||||||||||||||||||||||
| Net profit margin1 | -18.54% | -20.48% | -24.25% | -36.36% | -48.15% | -66.10% | -52.23% | -70.55% | -53.68% | -19.54% | -16.06% | -10.69% | -12.59% | -18.44% | -15.03% | 5.39% | 12.35% | 12.37% | 5.11% | ||||||
| Benchmarks | |||||||||||||||||||||||||
| Net Profit Margin, Competitors2 | |||||||||||||||||||||||||
| Chevron Corp. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
| ConocoPhillips | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
| Exxon Mobil Corp. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
Based on: 10-Q (reporting date: 2017-09-30), 10-Q (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31), 10-K (reporting date: 2016-12-31), 10-Q (reporting date: 2016-09-30), 10-Q (reporting date: 2016-06-30), 10-Q (reporting date: 2016-03-31), 10-K (reporting date: 2015-12-31), 10-Q (reporting date: 2015-09-30), 10-Q (reporting date: 2015-06-30), 10-Q (reporting date: 2015-03-31), 10-K (reporting date: 2014-12-31), 10-Q (reporting date: 2014-09-30), 10-Q (reporting date: 2014-06-30), 10-Q (reporting date: 2014-03-31), 10-K (reporting date: 2013-12-31), 10-Q (reporting date: 2013-09-30), 10-Q (reporting date: 2013-06-30), 10-Q (reporting date: 2013-03-31).
1 Q3 2017 Calculation
Net profit margin = 100
× (Net income (loss) attributable to common stockholdersQ3 2017
+ Net income (loss) attributable to common stockholdersQ2 2017
+ Net income (loss) attributable to common stockholdersQ1 2017
+ Net income (loss) attributable to common stockholdersQ4 2016)
÷ (Sales revenuesQ3 2017
+ Sales revenuesQ2 2017
+ Sales revenuesQ1 2017
+ Sales revenuesQ4 2016)
= 100 × (-699 + -415 + -318 + -515)
÷ (2,610 + 2,419 + 2,898 + 2,577)
= -18.54%
2 Click competitor name to see calculations.
The company's financial performance over the observed quarterly periods exhibits significant volatility and a marked downward trend in profitability.
- Net Income (Loss) Attributable to Common Stockholders
- The net income figures demonstrate substantial fluctuations, starting with positive earnings early in the period, including highs of 929 million and 1087 million US dollars in mid-to-late 2013 and 2014 respectively. However, beginning in late 2013, the company experienced multiple quarters of losses, with particularly significant declines in early 2015 (-3268 million US dollars) and persisting negative net income through to the end of 2017. This pattern indicates increasing financial challenges and reduced earnings capacity.
- Sales Revenues
- Sales revenues showed growth from the first quarter of 2013 to mid-2014, peaking at 4385 million US dollars in the second quarter of 2014. From this peak, there was a general decline throughout 2015 and 2016, reaching a low of 1634 million in the first quarter of 2016. The revenue trend slightly recovered into 2017, increasing gradually to levels around 2600 million US dollars by late 2017, yet these remain below the earlier peaks. This suggests pressure on top-line growth possibly due to market or operational factors.
- Net Profit Margin
- The net profit margin displays a sharp deterioration throughout the time series. Margins were positive and relatively healthy in 2013, peaking above 12%. Starting in 2014, profit margins turned negative, with sustained losses ranging from approximately -10% to over -70% in certain quarters, particularly in late 2015 and early 2016. Although the margins show some improvement by 2017, the levels remain deeply negative, indicating ongoing unprofitability and cost management challenges.
In summary, the data reveals a clear decline in financial health with net income turning negative and large losses recorded in multiple quarters. Sales revenues decreased substantially after 2014 but showed modest recovery by 2017. The persistently negative net profit margins highlight continued operational difficulties and the need for strategic adjustments to restore profitability and stabilize financial performance.
Return on Equity (ROE)
Anadarko Petroleum Corp., ROE calculation (quarterly data)
| Sep 30, 2017 | Jun 30, 2017 | Mar 31, 2017 | Dec 31, 2016 | Sep 30, 2016 | Jun 30, 2016 | Mar 31, 2016 | Dec 31, 2015 | Sep 30, 2015 | Jun 30, 2015 | Mar 31, 2015 | Dec 31, 2014 | Sep 30, 2014 | Jun 30, 2014 | Mar 31, 2014 | Dec 31, 2013 | Sep 30, 2013 | Jun 30, 2013 | Mar 31, 2013 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||||
| Net income (loss) attributable to common stockholders | (699) | (415) | (318) | (515) | (830) | (692) | (1,034) | (1,250) | (2,235) | 61) | (3,268) | (395) | 1,087) | 227) | (2,669) | (770) | 182) | 929) | 460) | ||||||
| Stockholders’ equity | 10,782) | 11,472) | 11,856) | 12,212) | 12,600) | 11,281) | 11,686) | 12,819) | 14,079) | 16,389) | 16,332) | 19,725) | 20,677) | 19,331) | 19,120) | 21,857) | 22,342) | 22,189) | 21,090) | ||||||
| Profitability Ratio | |||||||||||||||||||||||||
| ROE1 | -18.06% | -18.11% | -19.86% | -25.15% | -30.21% | -46.19% | -38.15% | -52.20% | -41.46% | -15.35% | -14.38% | -8.87% | -10.28% | -15.67% | -12.18% | 3.66% | 7.94% | 7.72% | 3.30% | ||||||
| Benchmarks | |||||||||||||||||||||||||
| ROE, Competitors2 | |||||||||||||||||||||||||
| Chevron Corp. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
| ConocoPhillips | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
| Exxon Mobil Corp. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
Based on: 10-Q (reporting date: 2017-09-30), 10-Q (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31), 10-K (reporting date: 2016-12-31), 10-Q (reporting date: 2016-09-30), 10-Q (reporting date: 2016-06-30), 10-Q (reporting date: 2016-03-31), 10-K (reporting date: 2015-12-31), 10-Q (reporting date: 2015-09-30), 10-Q (reporting date: 2015-06-30), 10-Q (reporting date: 2015-03-31), 10-K (reporting date: 2014-12-31), 10-Q (reporting date: 2014-09-30), 10-Q (reporting date: 2014-06-30), 10-Q (reporting date: 2014-03-31), 10-K (reporting date: 2013-12-31), 10-Q (reporting date: 2013-09-30), 10-Q (reporting date: 2013-06-30), 10-Q (reporting date: 2013-03-31).
1 Q3 2017 Calculation
ROE = 100
× (Net income (loss) attributable to common stockholdersQ3 2017
+ Net income (loss) attributable to common stockholdersQ2 2017
+ Net income (loss) attributable to common stockholdersQ1 2017
+ Net income (loss) attributable to common stockholdersQ4 2016)
÷ Stockholders’ equity
= 100 × (-699 + -415 + -318 + -515)
÷ 10,782 = -18.06%
2 Click competitor name to see calculations.
The financial data reveals notable volatility and downward trends in several key metrics over the analyzed periods. Net income attributable to common stockholders exhibits significant fluctuations, including both positive earnings and substantial losses. Initial quarters show positive net income, peaking at 929 million US dollars in mid-2013, followed by a steep decline into negative territory by the end of 2013 and reaching a pronounced low of -3,268 million US dollars in early 2015. Subsequent quarters maintain a pattern of losses with occasional minor rebounds, but overall net income remains negative through to late 2017.
Stockholders’ equity demonstrates a declining trend throughout the timeframe. Beginning at 21,090 million US dollars in early 2013, equity experiences intermittent periods of slight recovery; however, the general trajectory is downward, falling to 10,782 million US dollars by the third quarter of 2017. This decrease in equity likely reflects cumulative operating losses and other adverse financial events impacting the company’s capital base.
The return on equity (ROE) shows a similar pattern of deterioration alongside net income and equity changes. ROE starts at moderate positive levels above 3% in early 2013 and improves to nearly 8% by the third quarter of the same year. Nevertheless, from late 2013 onward, it turns sharply negative, declining to as low as -52.2% in the fourth quarter of 2015. While some recovery is noted in the following periods, ROE remains deeply negative, around -18% to -25% into 2017, indicating sustained low profitability relative to shareholder equity.
- Net Income Analysis
- Initial profitability seen in early 2013 deteriorates rapidly into negative earnings by late 2013. The company faces significant losses particularly around 2014 and early 2015, followed by persistent losses without a return to stable profitability.
- Stockholders’ Equity
- Equity shows gradual erosion across the reporting periods, halving approximately from 2013 to 2017, reflecting the impact of recurring net losses and possibly other capital reductions or asset impairments.
- Return on Equity (ROE)
- ROE initially positive, sharply declines into large negative values, illustrating worsening efficiency in generating returns from shareholder capital. While some improvement occurs after deep negative troughs, profitability relative to equity remains poor.
Overall, the financial indicators present a company under considerable operational and financial pressure through the period analyzed, with sustained losses, declining equity, and prolonged negative returns on equity, suggesting challenges in maintaining profitability and capital value for shareholders.
Return on Assets (ROA)
Anadarko Petroleum Corp., ROA calculation (quarterly data)
| Sep 30, 2017 | Jun 30, 2017 | Mar 31, 2017 | Dec 31, 2016 | Sep 30, 2016 | Jun 30, 2016 | Mar 31, 2016 | Dec 31, 2015 | Sep 30, 2015 | Jun 30, 2015 | Mar 31, 2015 | Dec 31, 2014 | Sep 30, 2014 | Jun 30, 2014 | Mar 31, 2014 | Dec 31, 2013 | Sep 30, 2013 | Jun 30, 2013 | Mar 31, 2013 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||||
| Net income (loss) attributable to common stockholders | (699) | (415) | (318) | (515) | (830) | (692) | (1,034) | (1,250) | (2,235) | 61) | (3,268) | (395) | 1,087) | 227) | (2,669) | (770) | 182) | 929) | 460) | ||||||
| Total assets | 43,128) | 44,348) | 44,693) | 45,564) | 45,417) | 44,033) | 47,922) | 46,414) | 49,182) | 52,124) | 52,973) | 61,689) | 60,665) | 58,414) | 58,103) | 55,781) | 55,294) | 55,300) | 53,588) | ||||||
| Profitability Ratio | |||||||||||||||||||||||||
| ROA1 | -4.51% | -4.69% | -5.27% | -6.74% | -8.38% | -11.83% | -9.30% | -14.42% | -11.87% | -4.83% | -4.43% | -2.84% | -3.50% | -5.19% | -4.01% | 1.44% | 3.21% | 3.10% | 1.30% | ||||||
| Benchmarks | |||||||||||||||||||||||||
| ROA, Competitors2 | |||||||||||||||||||||||||
| Chevron Corp. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
| ConocoPhillips | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
| Exxon Mobil Corp. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
Based on: 10-Q (reporting date: 2017-09-30), 10-Q (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31), 10-K (reporting date: 2016-12-31), 10-Q (reporting date: 2016-09-30), 10-Q (reporting date: 2016-06-30), 10-Q (reporting date: 2016-03-31), 10-K (reporting date: 2015-12-31), 10-Q (reporting date: 2015-09-30), 10-Q (reporting date: 2015-06-30), 10-Q (reporting date: 2015-03-31), 10-K (reporting date: 2014-12-31), 10-Q (reporting date: 2014-09-30), 10-Q (reporting date: 2014-06-30), 10-Q (reporting date: 2014-03-31), 10-K (reporting date: 2013-12-31), 10-Q (reporting date: 2013-09-30), 10-Q (reporting date: 2013-06-30), 10-Q (reporting date: 2013-03-31).
1 Q3 2017 Calculation
ROA = 100
× (Net income (loss) attributable to common stockholdersQ3 2017
+ Net income (loss) attributable to common stockholdersQ2 2017
+ Net income (loss) attributable to common stockholdersQ1 2017
+ Net income (loss) attributable to common stockholdersQ4 2016)
÷ Total assets
= 100 × (-699 + -415 + -318 + -515)
÷ 43,128 = -4.51%
2 Click competitor name to see calculations.
- Net Income (Loss) Attributable to Common Stockholders
- Net income exhibited significant volatility across the reported quarters. The company recorded positive earnings in early 2013, peaking notably at $929 million in the second quarter of 2013. However, starting from the last quarter of 2013, net income turned negative and continued to fluctuate substantially. There were intermittent rebounds to positive earnings, such as in the third quarter of 2014 and the second quarter of 2015, but these were followed by recurring losses. The overall trend from 2014 onward suggests financial challenges, characterized by frequent and considerable net losses, culminating in substantial deficits by the end of 2015 and persisting through 2017.
- Total Assets
- Total assets increased moderately between the first quarter of 2013 and the end of 2014, rising from approximately $53.6 billion to about $61.7 billion. This growth indicates asset accumulation during this period. However, from 2015 onward, total assets declined steadily, falling to approximately $43.1 billion by the third quarter of 2017. This reduction in asset base may reflect divestitures, asset impairments, or other balance sheet adjustments in response to market conditions or operational strategy.
- Return on Assets (ROA)
- The ROA showed a declining trajectory over the course of the data period. Early 2013 saw positive returns, reaching above 3% at one point, indicating effective utilization of assets to generate profit. However, from 2014 forward, ROA turned negative and deteriorated substantially, reaching double-digit negative percentages by late 2015. Although the degree of negativity lessened slightly after 2015, the ROA remained consistently negative through 2017, suggesting ongoing difficulties in converting asset investments into net earnings.
- Overall Analysis
- The data reflect a period of financial stress, highlighted by persistent net losses and diminishing asset base after 2014. The initial phase of asset growth and profitable quarters in early 2013 gave way to sustained negative profitability and asset contraction. The deteriorating ROA emphasizes declining operational efficiency in generating returns from assets. These trends indicate that the company faced significant operational or market challenges during the period, resulting in reduced asset utilization effectiveness and ongoing financial underperformance.