The Clorox Company (CLX)
Return on assets (ROA)
| Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | 694,000 | 457,000 | 357,000 | 280,000 | 240,000 | 82,000 | 88,000 | 151,000 | 76,000 | 435,000 | 405,000 | 462,000 | 458,000 | 247,000 | 437,000 | 710,000 | 923,000 | 1,225,000 | 1,151,000 | 939,000 |
| Total assets | US$ in thousands | 5,512,000 | 5,577,000 | 5,497,000 | 5,751,000 | 5,805,000 | 5,908,000 | 5,991,000 | 5,945,000 | 5,818,000 | 6,045,000 | 6,153,000 | 6,158,000 | 6,322,000 | 6,190,000 | 6,274,000 | 6,334,000 | 6,441,000 | 6,855,000 | 6,777,000 | 6,213,000 |
| ROA | 12.59% | 8.19% | 6.49% | 4.87% | 4.13% | 1.39% | 1.47% | 2.54% | 1.31% | 7.20% | 6.58% | 7.50% | 7.24% | 3.99% | 6.97% | 11.21% | 14.33% | 17.87% | 16.98% | 15.11% |
March 31, 2025 calculation
ROA = Net income (ttm) ÷ Total assets
= $694,000K ÷ $5,512,000K
= 12.59%
The trend in The Clorox Company’s return on assets (ROA) over the specified period demonstrates notable fluctuations, reflecting changes in the company’s efficiency in generating profit from its total assets. Initially, during the fiscal year ending June 30, 2020, the ROA was at a relatively high level of 15.11%, which increased further to 16.98% by September 30, 2020, and 17.87% by December 31, 2020. This upward trajectory suggests improved asset utilization and profitability during that period.
However, beginning in the first quarter of 2021, a downward trend is evident. The ROA declined sharply to 14.33% in March 2021, followed by a significant decrease to 11.21% in June 2021, and then dropping markedly to 6.97% and 3.99% in September and December 2021, respectively. This contraction indicates a reduction in the firm's ability to generate profits efficiently from its assets, possibly due to increased competition, market saturation, or operational challenges.
In 2022, the ROA exhibited slight recovery, with values of 7.24% in March, 7.50% in June, 6.58% in September, and 7.20% at year's end, suggesting some stabilization but remaining below earlier peak levels. The subsequent period shows further decline, with the ROA decreasing to 1.31% in March 2023, 2.54% in June, and 1.47% in September 2023, approaching minimal levels that reflect diminished profitability relative to asset base.
Conversely, from the end of 2023 through the first half of 2024, the ROA demonstrates a gradual upward trajectory, ascending to 4.13% in March 2024, 4.87% in June 2024, and reaching 6.49% in September 2024. By December 2024, it increased further to 8.19%. The strongest performance within this recent period occurs in the first quarter of 2025, with a notable rise to 12.59%, indicating a significant improvement in asset efficiency and profitability.
Overall, the company's ROA was robust in the early phases of the analyzed period but faced a historic decline beginning in early 2021, reaching low levels around 2023, before showing signs of recovery in late 2024 and early 2025. This pattern suggests a period of operational challenge followed by strategic or operational improvements leading to a rebound in asset productivity.