Cleveland-Cliffs Inc (CLF)
Total asset turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 19,185,000 | 21,996,000 | 22,989,000 | 20,444,000 | 5,354,000 |
| Total assets | US$ in thousands | 20,947,000 | 17,537,000 | 18,755,000 | 18,975,000 | 16,771,000 |
| Total asset turnover | 0.92 | 1.25 | 1.23 | 1.08 | 0.32 |
December 31, 2024 calculation
Total asset turnover = Revenue ÷ Total assets
= $19,185,000K ÷ $20,947,000K
= 0.92
The total asset turnover of Cleveland-Cliffs Inc has demonstrated a significant improvement over the years, rising from 0.32 in December 31, 2020, to 1.25 in December 31, 2023. This indicates that the company has been able to generate more revenue relative to its total assets invested in the business. However, there was a slight decline in the ratio to 0.92 by December 31, 2024.
The increase in total asset turnover from 2020 to 2023 suggests that Cleveland-Cliffs has been more efficient in utilizing its assets to generate sales during this period. The decline in 2024 may indicate a potential drop in sales relative to the total assets employed. It is important for the company to closely monitor this ratio to ensure optimal asset utilization and revenue generation in the future.
Peer comparison
Dec 31, 2024