Celsius Holdings Inc (CELH)
Return on assets (ROA)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 145,074 | 226,801 | -187,282 | 3,937 | 8,524 |
| Total assets | US$ in thousands | 1,766,880 | 1,536,400 | 1,222,070 | 314,018 | 131,290 |
| ROA | 8.21% | 14.76% | -15.32% | 1.25% | 6.49% |
December 31, 2024 calculation
ROA = Net income ÷ Total assets
= $145,074K ÷ $1,766,880K
= 8.21%
On comparing Celsius Holdings Inc's Return on Assets (ROA) over the years from 2020 to 2024, we observe fluctuations in the performance of the company's assets utilization. The ROA was 6.49% in 2020, indicating that for every dollar of assets, the company generated 6.49 cents in net income. However, there was a decrease in ROA to 1.25% in 2021, suggesting a decline in the efficiency of asset utilization.
Subsequently, in 2022, the ROA turned negative at -15.32%, reflecting a situation where the company's net income was insufficient to cover the total assets. The significant negative ROA could be a cause for concern as it indicates a potential issue with profitability and asset management.
However, the company managed to improve its ROA substantially in the following years. In 2023, the ROA surged to 14.76%, signifying a strong comeback in asset efficiency and profitability. The positive trend continued in 2024, with the ROA standing at 8.21%, reflecting a consistent and commendable performance in utilizing assets to generate profits.
In conclusion, Celsius Holdings Inc experienced varying levels of asset efficiency and profitability over the analyzed period, with a mix of challenges and improvements. Monitoring the ROA trend over time can provide insights into the company's performance in utilizing its assets effectively.
Peer comparison
Dec 31, 2024