Clearway Energy Inc Class C (CWEN)

Return on assets (ROA)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Net income	US$ in thousands	79,000	582,000	51,000	25,000	-11,000
Total assets	US$ in thousands	14,701,000	12,312,000	12,813,000	10,592,000	9,700,000
ROA		0.54%	4.73%	0.40%	0.24%	-0.11%

December 31, 2023 calculation

ROA = Net income ÷ Total assets
= $79,000K ÷ $14,701,000K
= 0.54%

Clearway Energy Inc's return on assets (ROA) has fluctuated over the past five years. In 2019, the company had a negative ROA of -0.11%, indicating that the company's assets were not generating positive returns during that period.

However, Clearway Energy Inc's ROA improved significantly in 2020 to 0.24% and further increased to 0.40% in 2021. This demonstrated the company's ability to generate better returns on its assets in those years.

The most notable improvement in Clearway Energy Inc's ROA occurred in 2022 when it reached 4.73%, reflecting a substantial increase in asset efficiency and profitability. This spike in ROA suggests that the company was able to significantly enhance its operational performance and generate higher profits relative to its total assets.

In the most recent year, 2023, Clearway Energy Inc's ROA decreased to 0.54%. While still positive, this decline indicates a slight reduction in the company's ability to generate returns on its assets compared to the peak performance in 2022.

Overall, Clearway Energy Inc's ROA has shown variability over the past five years, with significant improvements in some years and slight declines in others. This metric is crucial for investors and analysts as it provides insights into the company's operational efficiency and profitability in utilizing its assets to generate returns.