Return on Assets (ROA)
since 2008
Calculation
Warner Bros. Discovery Inc., ROA, long-term trends, calculation
| ROA | = | 100 | × | Net income (loss) available to Discovery, Inc.1 | ÷ | Total assets1 | |
|---|---|---|---|---|---|---|---|
| Dec 31, 2021 | 2.92% | = | 100 | × | 1,006) | ÷ | 34,427) |
| Dec 31, 2020 | 3.58% | = | 100 | × | 1,219) | ÷ | 34,087) |
| Dec 31, 2019 | 6.13% | = | 100 | × | 2,069) | ÷ | 33,735) |
| Dec 31, 2018 | 1.82% | = | 100 | × | 594) | ÷ | 32,550) |
| Dec 31, 2017 | -1.49% | = | 100 | × | (337) | ÷ | 22,555) |
| Dec 31, 2016 | 7.58% | = | 100 | × | 1,194) | ÷ | 15,758) |
| Dec 31, 2015 | 6.52% | = | 100 | × | 1,034) | ÷ | 15,864) |
| Dec 31, 2014 | 7.11% | = | 100 | × | 1,139) | ÷ | 16,014) |
| Dec 31, 2013 | 7.18% | = | 100 | × | 1,075) | ÷ | 14,979) |
| Dec 31, 2012 | 7.29% | = | 100 | × | 943) | ÷ | 12,930) |
| Dec 31, 2011 | 9.50% | = | 100 | × | 1,132) | ÷ | 11,913) |
| Dec 31, 2010 | 5.93% | = | 100 | × | 653) | ÷ | 11,019) |
| Dec 31, 2009 | 5.11% | = | 100 | × | 560) | ÷ | 10,965) |
| Dec 31, 2008 | 3.02% | = | 100 | × | 317) | ÷ | 10,484) |
Based on: 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).
1 US$ in millions
The return on assets (ROA) exhibits a cyclical progression characterized by an initial growth phase, a period of relative stability, and a subsequent period of volatility linked to aggressive asset expansion.
- Initial Growth and Peak Efficiency (2008–2011)
- A strong upward trajectory is observed during this period, with ROA increasing from 3.02% in 2008 to a peak of 9.50% in 2011. This expansion was supported by a significant rise in net income, which grew from US$ 317 million to US$ 1,132 million, while total assets increased at a more moderate pace.
- Consolidation Phase (2012–2016)
- The ROA entered a period of stabilization, fluctuating between 6.52% and 7.58%. During these five years, net income remained relatively steady, ranging between approximately US$ 943 million and US$ 1,194 million, while total assets grew incrementally from US$ 12,930 million to US$ 15,758 million.
- Volatility and Asset Dilution (2017–2021)
- A sharp contraction occurred in 2017, resulting in a negative ROA of -1.49%. This decline was driven by a net loss of US$ 337 million and a simultaneous surge in total assets to US$ 22,555 million. While a recovery followed, peaking at 6.13% in 2019, the ROA declined to 2.92% by 2021. This late-term downward trend is primarily attributed to the rapid expansion of the asset base, which reached US$ 34,427 million, thereby diluting the return despite the stabilization of net income.
AI Ask an analyst for more
Hi, I’m an AI-powered financial analyst at Stock Analysis on Net.
Without a user account, I tend to respond rather slowly.
How can I help you?
Comparison to Competitors
Warner Bros. Discovery Inc., ROA, long-term trends, comparison to competitors
| Warner Bros. Discovery Inc. | Alphabet Inc. | Comcast Corp. | Meta Platforms Inc. | Netflix Inc. | Walt Disney Co. | |
|---|---|---|---|---|---|---|
| Dec 31, 2021 | 2.92% | 21.16% | 5.13% | 23.72% | 11.48% | 0.98% |
| Dec 31, 2020 | 3.58% | 12.60% | 3.85% | 18.29% | 7.03% | -1.42% |
| Dec 31, 2019 | 6.13% | 12.45% | 4.96% | 13.86% | 5.49% | 5.70% |
| Dec 31, 2018 | 1.82% | 13.20% | 4.66% | 22.72% | 4.66% | 12.78% |
| Dec 31, 2017 | -1.49% | 6.42% | 12.15% | 18.85% | 2.94% | 9.37% |
| Dec 31, 2016 | 7.58% | 11.63% | 4.82% | 15.73% | 1.37% | 10.20% |
| Dec 31, 2015 | 6.52% | 11.09% | 4.90% | 7.46% | 1.20% | 9.51% |
| Dec 31, 2014 | 7.11% | 11.01% | 5.26% | 7.32% | 3.78% | 8.91% |
| Dec 31, 2013 | 7.18% | 11.65% | 4.29% | 8.38% | 2.08% | 7.55% |
| Dec 31, 2012 | 7.29% | 11.45% | 3.76% | 0.35% | 0.43% | 7.59% |
| Dec 31, 2011 | 9.50% | 13.42% | 2.64% | — | 7.37% | 6.66% |
| Dec 31, 2010 | 5.93% | 14.70% | 3.07% | — | 16.38% | 5.73% |
| Dec 31, 2009 | 5.11% | 16.10% | 3.23% | — | 17.04% | 5.24% |
| Dec 31, 2008 | 3.02% | 13.31% | 2.25% | — | 13.44% | 7.08% |
Based on: 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).
Comparison to Sector (Media & Entertainment)
Warner Bros. Discovery Inc., ROA, long-term trends, comparison to sector (media & entertainment)
| Warner Bros. Discovery Inc. | Media & Entertainment | |
|---|---|---|
| Dec 31, 2021 | 2.92% | 13.02% |
| Dec 31, 2020 | 3.58% | 8.04% |
| Dec 31, 2019 | 6.13% | 8.75% |
| Dec 31, 2018 | 1.82% | 11.10% |
| Dec 31, 2017 | -1.49% | 10.43% |
| Dec 31, 2016 | 7.58% | 9.25% |
| Dec 31, 2015 | 6.52% | 7.95% |
| Dec 31, 2014 | 7.11% | 7.95% |
| Dec 31, 2013 | 7.18% | 7.34% |
| Dec 31, 2012 | 7.29% | 6.43% |
| Dec 31, 2011 | 9.50% | 6.19% |
| Dec 31, 2010 | 5.93% | 6.60% |
| Dec 31, 2009 | 5.11% | 6.26% |
| Dec 31, 2008 | 3.02% | 5.43% |
Based on: 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).
Comparison to Industry (Communication Services)
Warner Bros. Discovery Inc., ROA, long-term trends, comparison to industry (communication services)
| Warner Bros. Discovery Inc. | Communication Services | |
|---|---|---|
| Dec 31, 2021 | 2.92% | 8.36% |
| Dec 31, 2020 | 3.58% | 4.69% |
| Dec 31, 2019 | 6.13% | 6.30% |
| Dec 31, 2018 | 1.82% | 7.37% |
| Dec 31, 2017 | -1.49% | 9.22% |
| Dec 31, 2016 | 7.58% | 6.13% |
| Dec 31, 2015 | 6.52% | 5.86% |
| Dec 31, 2014 | 7.11% | 4.94% |
| Dec 31, 2013 | 7.18% | 5.87% |
| Dec 31, 2012 | 7.29% | 3.63% |
| Dec 31, 2011 | 9.50% | 3.13% |
| Dec 31, 2010 | 5.93% | 5.26% |
| Dec 31, 2009 | 5.11% | 4.17% |
| Dec 31, 2008 | 3.02% | 4.53% |
Based on: 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).