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

Company name
Symbol
ROA
Leggett & Platt Incorporated
LEG
-2.95%
La-Z-Boy Incorporated
LZB
6.41%
Tempur Sealy International Inc
TPX
8.08%