Nucor Corp (NUE)

Return on assets (ROA)

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Net income US$ in thousands 2,027,000 4,524,800 7,607,340 6,827,460 721,470
Total assets US$ in thousands 33,940,000 35,340,500 32,479,200 25,823,100 20,125,400
ROA 5.97% 12.80% 23.42% 26.44% 3.58%

December 31, 2024 calculation

ROA = Net income ÷ Total assets
= $2,027,000K ÷ $33,940,000K
= 5.97%

The return on assets (ROA) of Nucor Corp has demonstrated a fluctuating trend over the past five years. The ROA stood at 3.58% as of December 31, 2020, indicating that the company generated $0.036 in profit for every dollar of assets. However, in the following years, Nucor Corp's ROA experienced significant improvements, reaching 26.44% by the end of 2021 and further increasing to 23.42% by the end of 2022.

In 2023, the ROA decreased to 12.80%, representing a decline in profitability relative to the previous year. By the end of 2024, Nucor Corp's ROA further dropped to 5.97%, signaling a decrease in the efficiency of the company in generating profits from its assets.

Overall, the analysis of Nucor Corp's ROA suggests that the company experienced exceptional profitability in 2021 and 2022, but the performance declined in the subsequent years. Further investigation into the underlying factors driving these fluctuations would be necessary to assess the company's asset utilization and profitability effectively.