Constellation Energy Corp (CEG)

Return on assets (ROA)

		Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021
Net income (ttm)	US$ in thousands	1,623,000	1,694,000	775,000	-169,000	-159,000	-151,000
Total assets	US$ in thousands	50,758,000	48,965,000	46,559,000	46,158,000	46,909,000	46,616,000	45,333,000	46,846,000	48,086,000
ROA		3.20%	3.46%	1.66%	-0.37%	-0.34%	-0.32%

December 31, 2023 calculation

ROA = Net income (ttm) ÷ Total assets
= $1,623,000K ÷ $50,758,000K
= 3.20%

Constellation Energy Corporation's return on assets (ROA) has shown variability over the past five quarters. In Q4 2023 and Q3 2023, the ROA was 3.20% and 3.46%, respectively, indicating a relatively strong performance in generating profits from its assets. However, in Q2 2023, the ROA dropped to 1.66%, showing a decrease in efficiency in utilizing its assets to generate returns.

The most concerning performance was in Q1 2023, where the ROA was negative at -0.37%, suggesting that the company's assets were not generating sufficient profits. The trend continued from Q4 2022, where the ROA was also negative at -0.34%.

Overall, Constellation Energy Corporation needs to focus on improving its efficiency in using its assets to generate returns to ensure sustained profitability and long-term financial stability.