Cleveland-Cliffs Inc (CLF)
Return on assets (ROA)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 399,000 | 1,335,000 | 2,988,000 | -122,000 | 293,000 |
| Total assets | US$ in thousands | 17,537,000 | 18,755,000 | 18,975,000 | 16,771,000 | 3,504,000 |
| ROA | 2.28% | 7.12% | 15.75% | -0.73% | 8.36% |
December 31, 2023 calculation
ROA = Net income ÷ Total assets
= $399,000K ÷ $17,537,000K
= 2.28%
The return on assets (ROA) for Cleveland-Cliffs Inc has fluctuated over the past five years. In 2023, the ROA decreased to 2.28% from 7.12% in 2022. This decline indicates that the company's efficiency in generating profits from its assets decreased in 2023 compared to the previous year.
The ROA was notably high in 2021 at 15.75%, reflecting the company's strong ability to generate earnings relative to its total assets that year. In contrast, in 2020, the ROA was negative at -0.73%, indicating that the company experienced a period where its assets were not efficiently utilized to generate profits.
In 2019, the ROA stood at 8.36%, indicating a healthy performance in utilizing assets to generate profits. Overall, the analysis of ROA for Cleveland-Cliffs Inc suggests variability in the company's asset efficiency and profitability over the past five years.
Peer comparison
Dec 31, 2023