Commercial Metals Company (CMC)
Return on assets (ROA)
| Aug 31, 2024 | May 31, 2024 | Feb 29, 2024 | Nov 30, 2023 | Aug 31, 2023 | May 31, 2023 | Feb 28, 2023 | Nov 30, 2022 | Aug 31, 2022 | May 31, 2022 | Feb 28, 2022 | Nov 30, 2021 | Aug 31, 2021 | May 31, 2021 | Feb 28, 2021 | Nov 30, 2020 | Aug 31, 2020 | May 31, 2020 | Feb 29, 2020 | Nov 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | 485,491 | 565,726 | 680,257 | 774,259 | 859,760 | 964,224 | 1,042,682 | 1,246,147 | 1,217,262 | 1,080,945 | 898,924 | 581,967 | 413,171 | 328,481 | 262,807 | 260,248 | 279,503 | 297,991 | 311,647 | 261,699 |
| Total assets | US$ in thousands | 6,817,840 | 6,710,230 | 6,662,260 | 6,695,170 | 6,639,090 | 6,639,090 | 6,639,090 | 6,639,090 | 6,237,030 | 6,103,700 | 5,504,220 | 4,725,260 | 4,638,670 | 4,391,080 | 4,064,040 | 4,016,670 | 4,081,730 | 3,954,890 | 3,907,940 | 3,808,350 |
| ROA | 7.12% | 8.43% | 10.21% | 11.56% | 12.95% | 14.52% | 15.71% | 18.77% | 19.52% | 17.71% | 16.33% | 12.32% | 8.91% | 7.48% | 6.47% | 6.48% | 6.85% | 7.53% | 7.97% | 6.87% |
August 31, 2024 calculation
ROA = Net income (ttm) ÷ Total assets
= $485,491K ÷ $6,817,840K
= 7.12%
Commercial Metals Company's return on assets (ROA) has shown fluctuations over the past several periods. The ROA has ranged from 6.47% to 19.52% in the latest available period. There was a significant increase from 6.87% to 19.52% between Nov 30, 2022, and Aug 31, 2024, indicating an improvement in the company's ability to generate profits relative to its total assets.
The trend suggests increasing profitability relative to the company's asset base, with ROA peaking at 19.52% and then slightly declining. The company's ROA has generally been above 10% in recent periods, indicating efficient utilization of assets to generate profits.
A higher ROA reflects better efficiency in the utilization of assets to generate earnings, indicating stronger management of the company's operations. Conversely, a declining ROA could signal potential issues with asset management, profitability, or both.
Overall, the company's ROA performance indicates a positive trend in generating profits from its assets, showcasing a favorable operational efficiency and financial performance.
Peer comparison
Aug 31, 2024