Return on Assets (ROA)
since 2005
Calculation
Amazon.com Inc., ROA, long-term trends, calculation
| ROA | = | 100 | × | Net income (loss)1 | ÷ | Total assets1 | |
|---|---|---|---|---|---|---|---|
| Dec 31, 2024 | 9.48% | = | 100 | × | 59,248) | ÷ | 624,894) |
| Dec 31, 2023 | 5.76% | = | 100 | × | 30,425) | ÷ | 527,854) |
| Dec 31, 2022 | -0.59% | = | 100 | × | (2,722) | ÷ | 462,675) |
| Dec 31, 2021 | 7.93% | = | 100 | × | 33,364) | ÷ | 420,549) |
| Dec 31, 2020 | 6.64% | = | 100 | × | 21,331) | ÷ | 321,195) |
| Dec 31, 2019 | 5.14% | = | 100 | × | 11,588) | ÷ | 225,248) |
| Dec 31, 2018 | 6.19% | = | 100 | × | 10,073) | ÷ | 162,648) |
| Dec 31, 2017 | 2.31% | = | 100 | × | 3,033) | ÷ | 131,310) |
| Dec 31, 2016 | 2.84% | = | 100 | × | 2,371) | ÷ | 83,402) |
| Dec 31, 2015 | 0.91% | = | 100 | × | 596) | ÷ | 65,444) |
| Dec 31, 2014 | -0.44% | = | 100 | × | (241) | ÷ | 54,505) |
| Dec 31, 2013 | 0.68% | = | 100 | × | 274) | ÷ | 40,159) |
| Dec 31, 2012 | -0.12% | = | 100 | × | (39) | ÷ | 32,555) |
| Dec 31, 2011 | 2.50% | = | 100 | × | 631) | ÷ | 25,278) |
| Dec 31, 2010 | 6.13% | = | 100 | × | 1,152) | ÷ | 18,797) |
| Dec 31, 2009 | 6.53% | = | 100 | × | 902) | ÷ | 13,813) |
| Dec 31, 2008 | 7.76% | = | 100 | × | 645) | ÷ | 8,314) |
| Dec 31, 2007 | 7.34% | = | 100 | × | 476) | ÷ | 6,485) |
| Dec 31, 2006 | 4.35% | = | 100 | × | 190) | ÷ | 4,363) |
| Dec 31, 2005 | 9.71% | = | 100 | × | 359) | ÷ | 3,696) |
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
1 US$ in millions
- Net Income (Loss) Trend
- The net income shows considerable volatility over the analyzed period. Starting at $359 million in 2005, it rose steadily until 2010, reaching $1,152 million, followed by a significant dip in 2011 to $631 million and a further drop to a loss of $39 million in 2012. After a mixed pattern with a loss again in 2014, the net income surged markedly from 2016 onwards, hitting a peak of $33,364 million in 2020. Despite another downturn at the end of the period in 2022 with a loss of $2,722 million, net income rebounded sharply to $59,248 million by 2024. This pattern indicates cycles of profitability interrupted by occasional significant losses.
- Total Assets Trend
- Total assets demonstrated consistent and robust growth throughout the years. From $3,696 million in 2005, total assets expanded substantially to $624,894 million in 2024. This steady increase suggests continued investment in asset accumulation, reflecting growth and expansion of the company’s operations over time. The growth appears nearly exponential, particularly pronounced after 2012.
- Return on Assets (ROA) Trend
- The Return on Assets indicates fluctuations in profitability relative to the asset base. ROA began at a high 9.71% in 2005, then declined sharply in the subsequent years, reaching a low of -0.44% in 2014. A recovery trend is observed post-2014, with ROA improving and peaking again at 7.93% in 2021. The slight negative ROA in 2022 corresponds with the net loss in that year, before rebounding to 9.48% by 2024. This volatility in ROA highlights periods where asset utilization for profit generation was challenged, followed by phases of improved efficiency.
- Overall Insights
- The company exhibits a strong growth trajectory in terms of asset accumulation, indicating scaling operations and investments. However, profitability exhibits significant variability, with returns influenced by both operational successes and losses in certain years. The cyclical nature of net income and ROA suggests sensitivity to external market conditions or strategic shifts that impact earnings. Nonetheless, the recovery periods after downturns demonstrate resilience and an ability to restore and improve profitability and asset efficiency over time.
Comparison to Competitors
Amazon.com Inc., ROA, long-term trends, comparison to competitors
| Amazon.com Inc. | Home Depot Inc. | Lowe’s Cos. Inc. | TJX Cos. Inc. | |
|---|---|---|---|---|
| Dec 31, 2024 | 9.48% | 19.79% | 18.49% | 15.04% |
| Dec 31, 2023 | 5.76% | 22.38% | 14.73% | 12.34% |
| Dec 31, 2022 | -0.59% | 22.86% | 18.91% | 11.53% |
| Dec 31, 2021 | 7.93% | 18.23% | 12.49% | 0.29% |
| Dec 31, 2020 | 6.64% | 21.94% | 10.85% | 13.55% |
| Dec 31, 2019 | 5.14% | 25.27% | 6.71% | 21.36% |
| Dec 31, 2018 | 6.19% | 19.38% | 9.77% | 18.55% |
| Dec 31, 2017 | 2.31% | 18.52% | 8.99% | 17.84% |
| Dec 31, 2016 | 2.84% | 16.47% | 8.14% | 19.81% |
| Dec 31, 2015 | 0.91% | 15.88% | 8.48% | 19.91% |
| Dec 31, 2014 | -0.44% | 13.29% | 6.98% | 20.95% |
| Dec 31, 2013 | 0.68% | 11.04% | 6.00% | 20.05% |
| Dec 31, 2012 | -0.12% | 9.58% | 5.48% | 18.07% |
| Dec 31, 2011 | 2.50% | 8.32% | 5.96% | 16.85% |
| Dec 31, 2010 | 6.13% | 6.51% | 5.40% | 16.26% |
| Dec 31, 2009 | 6.53% | 5.49% | 6.72% | 14.25% |
| Dec 31, 2008 | 7.76% | 9.92% | 9.10% | 11.69% |
| Dec 31, 2007 | 7.34% | 11.02% | 11.18% | 12.13% |
| Dec 31, 2006 | 4.35% | 13.12% | 11.23% | 12.56% |
| Dec 31, 2005 | 9.71% | 12.85% | 10.26% | 13.09% |
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
Comparison to Sector (Consumer Discretionary Distribution & Retail)
Amazon.com Inc., ROA, long-term trends, comparison to sector (consumer discretionary distribution & retail)
| Amazon.com Inc. | Consumer Discretionary Distribution & Retail | |
|---|---|---|
| Dec 31, 2024 | 9.48% | 11.20% |
| Dec 31, 2023 | 5.76% | 8.50% |
| Dec 31, 2022 | -0.59% | 4.19% |
| Dec 31, 2021 | 7.93% | 9.17% |
| Dec 31, 2020 | 6.64% | 9.20% |
| Dec 31, 2019 | 5.14% | 8.83% |
| Dec 31, 2018 | 6.19% | 9.65% |
| Dec 31, 2017 | 2.31% | 7.39% |
| Dec 31, 2016 | 2.84% | 8.42% |
| Dec 31, 2015 | 0.91% | 7.99% |
| Dec 31, 2014 | -0.44% | 6.94% |
| Dec 31, 2013 | 0.68% | 7.03% |
| Dec 31, 2012 | -0.12% | 6.25% |
| Dec 31, 2011 | 2.50% | 6.84% |
| Dec 31, 2010 | 6.13% | 6.80% |
| Dec 31, 2009 | 6.53% | 6.65% |
| Dec 31, 2008 | 7.76% | 9.57% |
| Dec 31, 2007 | 7.34% | 10.89% |
| Dec 31, 2006 | 4.35% | 12.01% |
| Dec 31, 2005 | 9.71% | 11.90% |
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
Comparison to Industry (Consumer Discretionary)
Amazon.com Inc., ROA, long-term trends, comparison to industry (consumer discretionary)
| Amazon.com Inc. | Consumer Discretionary | |
|---|---|---|
| Dec 31, 2024 | 9.48% | 8.18% |
| Dec 31, 2023 | 5.76% | 7.66% |
| Dec 31, 2022 | -0.59% | 4.94% |
| Dec 31, 2021 | 7.93% | 8.07% |
| Dec 31, 2020 | 6.64% | 4.42% |
| Dec 31, 2019 | 5.14% | 5.57% |
| Dec 31, 2018 | 6.19% | 5.96% |
| Dec 31, 2017 | 2.31% | 4.05% |
| Dec 31, 2016 | 2.84% | 5.57% |
| Dec 31, 2015 | 0.91% | 6.25% |
| Dec 31, 2014 | -0.44% | 4.75% |
| Dec 31, 2013 | 0.68% | 5.52% |
| Dec 31, 2012 | -0.12% | 5.65% |
| Dec 31, 2011 | 2.50% | 9.48% |
| Dec 31, 2010 | 6.13% | 6.05% |
| Dec 31, 2009 | 6.53% | 4.67% |
| Dec 31, 2008 | 7.76% | 0.21% |
| Dec 31, 2007 | 7.34% | 2.85% |
| Dec 31, 2006 | 4.35% | 0.60% |
| Dec 31, 2005 | 9.71% | 3.80% |
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).