Leggett & Platt Incorporated (LEG)
Return on assets (ROA)
| 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 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | -136,800 | 213,300 | 231,900 | 272,900 | 309,800 | 362,500 | 388,300 | 405,300 | 402,400 | 404,900 | 414,700 | 296,400 | 253,000 | 231,800 | 224,400 | 316,700 | 333,800 | 300,000 | 290,400 | 289,200 |
| Total assets | US$ in thousands | 4,634,500 | 5,077,600 | 5,144,300 | 5,270,000 | 5,186,100 | 5,175,200 | 5,230,600 | 5,341,800 | 5,307,300 | 5,235,100 | 5,150,100 | 4,911,600 | 4,800,000 | 4,663,800 | 4,582,100 | 4,982,000 | 4,855,400 | 4,857,800 | 5,002,000 | 4,953,800 |
| ROA | -2.95% | 4.20% | 4.51% | 5.18% | 5.97% | 7.00% | 7.42% | 7.59% | 7.58% | 7.73% | 8.05% | 6.03% | 5.27% | 4.97% | 4.90% | 6.36% | 6.87% | 6.18% | 5.81% | 5.84% |
December 31, 2023 calculation
ROA = Net income (ttm) ÷ Total assets
= $-136,800K ÷ $4,634,500K
= -2.95%
The return on assets (ROA) for Leggett & Platt, Inc. has shown some fluctuations over the past eight quarters. In Q1 2022, the ROA was at its highest point at 7.59%, indicating that the company generated a strong return relative to its total assets during that period. However, since then, the ROA has experienced a declining trend, with Q4 2023 recording a negative ROA of -2.95%.
The positive ROA figures from Q2 2022 to Q1 2023 suggest that the company was efficiently utilizing its assets to generate profits during that period. However, the subsequent decrease in ROA figures indicates that the company may have faced challenges in maintaining or improving its profitability relative to its asset base.
The negative ROA in Q4 2023 is a cause for concern as it implies that the company incurred a net loss relative to its total assets during that quarter. This could be attributed to various factors such as declining sales, increased expenses, or impairment charges.
Overall, the fluctuating ROA figures for Leggett & Platt, Inc. suggest that the company's asset efficiency and profitability performance have been inconsistent in recent quarters. Further analysis of the company's financial position and operational efficiency may be required to understand the underlying reasons for these fluctuations and to address any potential issues affecting the ROA.
Peer comparison
Dec 31, 2023