Nucor Corp (NUE)

Return on assets (ROA)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Net income	US$ in thousands	4,524,800	7,607,340	6,827,460	721,470	1,271,140
Total assets	US$ in thousands	35,340,500	32,479,200	25,823,100	20,125,400	18,344,700
ROA		12.80%	23.42%	26.44%	3.58%	6.93%

December 31, 2023 calculation

ROA = Net income ÷ Total assets
= $4,524,800K ÷ $35,340,500K
= 12.80%

The return on assets (ROA) of Nucor Corp. has shown variability over the past five years. The ROA decreased from 6.89% in 2019 to 3.56% in 2020, reflecting a decline in the company's ability to generate profits relative to its assets during that period. However, there was a significant improvement in ROA in the following years, with notable increases to 26.31% in 2021, 23.33% in 2022, and 12.76% in 2023.

The upward trend in ROA from 2020 to 2022 suggests that Nucor Corp. effectively utilized its assets to generate higher profits during these years. However, the decrease in ROA in 2023 indicates a slight decline in the company's efficiency in generating earnings relative to its assets compared to the previous year.

Overall, the fluctuation in Nucor Corp.'s ROA indicates the changing efficiency of the company in utilizing its assets to generate profits over the analyzed period. It may be important for stakeholders to closely monitor the company's asset utilization and profitability in the future to assess its financial performance and sustainability.