Albemarle Corp. (NYSE:ALB)

Current Income Tax Expense

The current income tax expense exhibits a fluctuating trend over the five-year period. It decreased from $95,662 thousand in 2018 to $56,401 thousand in 2020, indicating a reduction in immediate tax liabilities. However, there was a rebound in 2021 to $67,946 thousand, followed by a significant increase in 2022, reaching $297,249 thousand. This sharp rise in the final year suggests a considerable increase in taxable income or changes in tax rates or regulations that affected the current tax obligations.

Deferred Income Tax Expense (Benefit)

The deferred income tax expense shows more volatility and a mix of expense and benefit figures. Starting at $49,164 thousand in 2018, it declined sharply to $14,394 thousand in 2019. The following years witnessed a shift to negative values (benefits) with -$1,976 thousand in 2020 and -$38,500 thousand in 2021, indicating recognition of deferred tax benefits during these periods. In 2022, there was a dramatic reversal to a deferred tax expense of $93,339 thousand, reflecting changes in timing differences or tax positions that led to increased deferred tax liabilities.

Total Income Tax Expense

The total income tax expense follows the overall pattern seen in current and deferred taxes but with distinct changes year-over-year. The expense decreased from $144,826 thousand in 2018 to $54,425 thousand in 2020, corresponding largely with lower current tax expenses and deferred tax benefits. The year 2021 shows the lowest total tax expense at $29,446 thousand, driven by continued deferred tax benefits surpassing the current tax expense. In 2022, the total income tax expense surged to $390,588 thousand, the highest in the period, driven by strong increases in both current and deferred tax expenses. This suggests a substantial growth in the company’s taxable income or possible tax law changes impacting both current and deferred tax calculations.

Summary Insights

Overall, the income tax expense data reflects significant variability over the five years. The company's tax expense management faced notable fluctuations. The shift from deferred tax benefits in 2020 and 2021 to a large deferred tax expense in 2022 is particularly significant, indicating changes in underlying timing differences or tax treatments. The dramatic increase in current tax expense in 2022 underscores a rise in taxable income or tax rates. These trends warrant further examination of the underlying business operations, changes in tax legislation, and deferred tax asset/liability management strategies that influenced these variations in reported tax expenses.

General trend in effective income tax rate

The effective income tax rate decreased from 18.2% in 2018 to a low of 14.6% in 2020, followed by a significant increase to 22% in 2021. It then declined again to 16.1% in 2022, indicating some volatility over the observed period.

Impact of U.S. federal statutory tax rate

The U.S. federal statutory tax rate remained constant at 21% throughout the five-year period, showing no influence on the fluctuations in the effective income tax rate.

State taxes, net of federal tax benefit

State taxes displayed variability with positive contributions in 2018 (0.9%) and 2020 (0.3%), but negative impacts in 2019 (-0.5%) and 2021 (-3.5%). No data was reported for 2022.

Change in valuation allowance

This factor was relatively stable and moderate in 2018-2020 (0.7%-1.9%), surged notably to 33.7% in 2021, and reversed to a negative adjustment of -3.9% in 2022. The spike in 2021 suggests a significant valuation change affecting tax provision that year.

Impact of foreign earnings, net

The impact of foreign earnings was negative every year, with increasing magnitude from -0.3% in 2018 to a significant -40.5% in 2021, before substantially reducing to -0.1% in 2022. This indicates a substantial tax charge related to foreign earnings in 2021, which mostly reversed the following year.

Global intangible low tax inclusion

There was a progressive increase from 0.8% in 2018 to 12.3% in 2021, followed by a sharp decline to 0.3% in 2022. This suggests increasing recognition of low tax complex intangible income up to 2021 before a drop in 2022.

Foreign-derived intangible income

This item was only reported in 2022 with a negative impact of -3%, suggesting new or unusual factors affecting this component in the latest year.

Section 162(m) limitation

The tax effect attributable to this limitation grew modestly from 0.3% in 2019 to 4.5% in 2021, then decreased significantly to 0.3% in 2022, implying a peak impact around 2021.

Subpart F income

This item showed generally increasing tax contributions from 0.9% in 2018 to a peak of 4.8% in 2021, then dropped sharply to 0.2% in 2022. It suggests a spike in inclusions of these foreign earnings in 2021.

Stock-based compensation

Stock-based compensation tax impacts were consistently negative, increasing in magnitude up to -7.2% in 2021, and then reducing to -0.3% in 2022, signaling elevated tax deductions related to stock-based pay particularly in 2021.

Depletion

The depletion tax effect remained negative and gradually intensified from -0.6% in 2018 to -2.9% in 2021, then diminished to -0.2% in 2022, reflecting higher depletion deductions mostly in 2021.

U.S. federal return to provision

This factor became increasingly negative through 2019 to 2021, reaching -1.7%, with a partial recovery to -0.4% in 2022, implying rising adjustments from federal returns during those years.

Revaluation of unrecognized tax benefits/reserve requirements

This item fluctuated, showing a negative impact in 2019 (-2.7%) and 2020 (-0.4%), a positive reversal to 3% in 2021, and a moderate positive 2.3% in 2022, indicating changing assessments of tax liabilities.

Other items, net

Other miscellaneous tax items remained predominantly negative or near zero, ranging from 0.7% positive in 2018 to -1.5% in 2021, and stabilizing near zero in 2022 (-0.1%).

Summary of notable trends

Overall, 2021 was characterized by significant positive and negative swings in several tax components notably valuation allowance, foreign earnings impact, global intangible low tax inclusion, and stock-based compensation, which collectively contributed to the highest effective tax rate in the period. In contrast, 2022 saw a normalization or reversal in many of these components, resulting in a lower effective tax rate. The stability of the U.S. statutory rate suggests that variations are driven mainly by other tax provision factors including foreign earnings, valuation allowances, and specific tax credits or limitations.

Accrued employee benefits

The accrued employee benefits fluctuated slightly over the five-year period, with a decrease from 18,462 thousand USD in 2018 to 17,462 thousand USD in 2019, followed by an increase peaking at 21,878 thousand USD in 2020. Afterward, the value declined again to 18,374 thousand USD in 2021 but rose slightly in 2022 to 20,060 thousand USD.

Operating loss carryovers

Operating loss carryovers showed considerable volatility, decreasing from approximately 1,210 million USD in 2018 to about 1,134 million USD in 2019, then rising to a peak of 1,322 million USD in 2020. This was followed by a slight reduction to 1,296 million USD in 2021 and a more pronounced decline to about 1,158 million USD in 2022, indicating fluctuating tax loss asset utilization or recognition.

Pensions

The pension-related deferred tax assets exhibited a downward trend, moving from 61,308 thousand USD in 2018 and peaking at 78,683 thousand USD in 2020, to a significant decline in subsequent years, reaching 26,229 thousand USD by 2022. This suggests a reduction in recognized pension-related deferred tax assets or improvement in funded status.

Tax credit carryovers

Tax credit carryovers consistently increased from 1,270 thousand USD in 2018 to 3,750 thousand USD in 2022, showing a steady growth trend in available tax credits over the period.

Other deferred tax assets

The 'Other' category of gross deferred tax assets saw considerable variation, starting at 35,895 thousand USD in 2018, more than doubling to 64,955 thousand USD in 2019, then slightly declining to 57,370 thousand USD in 2020. A significant spike occurred in 2021, reaching 212,882 thousand USD, followed by a reduction to 122,333 thousand USD in 2022. This volatility indicates variability in miscellaneous deferred tax asset recognition.

Gross deferred tax assets

Gross deferred tax assets initially declined slightly from 1,327 million USD in 2018 to 1,282 million USD in 2019 before rising to a peak of 1,578 million USD in 2021. A notable decrease occurred in 2022 to 1,330 million USD. This pattern reflects underlying changes in the components of deferred tax assets, including valuation allowance and asset recognition.

Valuation allowance

The valuation allowance decreased in absolute terms from -1,213 million USD in 2018 to -1,087 million USD in 2022, indicating a reduction in the amount of deferred tax assets considered unlikely to be realized. This decline may suggest improved expectations of future taxable income or changes in tax planning strategies.

Deferred tax assets (net of allowance)

Net deferred tax assets increased steadily from 113,562 thousand USD in 2018 up to 302,044 thousand USD in 2021, before decreasing to 242,708 thousand USD in 2022. This trend highlights improved deferred tax asset realization prospects through 2021, with a subsequent moderation in 2022.

Depreciation (deferred tax liabilities)

Deferred tax liabilities related to depreciation steadily increased in magnitude from -337,503 thousand USD in 2018 to -446,942 thousand USD in 2022, reflecting increased timing differences arising from depreciation expenses.

Intangibles (deferred tax liabilities)

Deferred tax liabilities associated with intangibles remained relatively stable, fluctuating marginally around -88,000 thousand USD over the five years, with a slight decrease in 2021 and slight increase back in 2022.

Hedge of net investment of foreign subsidiary

This item showed a reduction in liabilities from -21,854 thousand USD in 2018 to -13,514 thousand USD in 2020, with no values reported in 2021 and 2022. The disappearance of this line item could indicate the resolution or reclassification of this deferred tax liability.

Other deferred tax liabilities

Other deferred tax liabilities increased significantly in magnitude, from -31,287 thousand USD in 2018 to -145,412 thousand USD in 2022, with considerable acceleration in negative recognition after 2019. This could reflect increased timing differences in other unspecified liabilities.

Total deferred tax liabilities

Deferred tax liabilities overall increased from -479,515 thousand USD in 2018 to -677,044 thousand USD in 2022, reflecting accumulating timing differences, particularly from depreciation and other liabilities categories.

Net deferred tax assets (liabilities)

Net deferred tax position (assets less liabilities) showed a consistent net liability position, worsening from -365,953 thousand USD in 2018 to -434,336 thousand USD in 2022. This trend indicates that deferred tax liabilities outweigh deferred tax assets, with the gap widening over the period.

Noncurrent deferred tax assets

The value of noncurrent deferred tax assets exhibited fluctuations over the observed period. From 2018 to 2019, there was a slight decline, decreasing from 17,029 thousand USD to 15,275 thousand USD. The amount then increased in 2020 to 20,317 thousand USD, followed by a minor decrease in 2021 to 18,797 thousand USD. A significant rise occurred in 2022, with the assets reaching 46,434 thousand USD, marking the highest level in the time frame and more than doubling the preceding year’s figure.

Noncurrent deferred tax liabilities

Noncurrent deferred tax liabilities showed a general downward trend from 2018 through 2021, beginning at 382,982 thousand USD in 2018 and increasing slightly to 397,858 thousand USD in 2019. It then marginally decreased to 394,852 thousand USD in 2020 and further dropped to 353,279 thousand USD in 2021. However, in 2022, these liabilities surged sharply to 480,770 thousand USD, representing a substantial increase and reaching a peak within the observed period.

Overall Analysis

The deferred tax assets and liabilities both demonstrated variable movements during the studied years. Deferred tax assets experienced modest fluctuations initially, with a notable surge in the final year under review. Deferred tax liabilities initially exhibited a declining trend but abruptly increased in the final year. The marked increases in both assets and liabilities in 2022 could indicate significant changes in the company’s tax position or accounting estimates related to deferred taxes during that period.

The financial data over the five-year period reveals several notable trends in the company's asset base, liabilities, equity, and net income, both on a reported and adjusted basis.

Total Assets

The reported total assets increased consistently each year, starting from approximately $7.58 billion at the end of 2018 to about $15.46 billion by the end of 2022. The adjusted total assets closely track the reported figures, showing a parallel upward trend with marginal differences. This steady growth suggests ongoing expansion or asset acquisition throughout the period.

Total Liabilities

Reported total liabilities exhibit volatility but an overall upward trajectory, rising from $3.82 billion in 2018 to $7.27 billion in 2022, with a notable dip in 2021. Adjusted total liabilities follow a similar pattern, though consistently lower than reported liabilities, indicating accounting adjustments likely related to deferred income tax that reduce the recorded liability balance. Despite fluctuations, liabilities have increased substantially over the period, consistent with asset growth.

Shareholders’ Equity

Reported equity shows steady growth from $3.59 billion in 2018 to $7.98 billion in 2022. The adjusted equity amounts are consistently higher than the reported figures by approximately $300 to $450 million, reflecting the effect of deferred income tax adjustments that increase equity value. This growth in equity indicates retained earnings accumulation and possibly equity issuances contributing to the company’s capitalization.

Net Income Attributable to Albemarle Corporation

Reported net income displays significant volatility with a peak of $693.6 million in 2018, declining to $123.7 million in 2021, and then sharply rising to $2.69 billion in 2022. Adjusted net income mirrors this pattern but tends to be slightly higher in all years except 2021, where it registers $85.2 million (less than reported). The volatile net income suggests varying profitability possibly due to market conditions, operational performance, or extraordinary items affecting annual results.

Overall, the data reflects a company experiencing strong growth in asset base and equity over five years, despite fluctuations in liabilities and net income. The adjustments for deferred income tax consistently impact the reported figures, mainly increasing equity and net income values, illustrating the importance of tax-related accounting treatments in the financial profile. The pronounced net income increase in 2022 could signify a significant improvement in operational results or favorable one-time effects during that fiscal year.

The financial data reveals notable fluctuations in key profitability and efficiency ratios over the five-year period. The net profit margins, both reported and adjusted for deferred income tax, exhibit a downward trend from 2018 through 2021, followed by a marked rebound in 2022. The reported net profit margin declines from 20.55% in 2018 to a low of 3.72% in 2021, then sharply increases to 36.75% in 2022. Similarly, the adjusted net profit margin decreases from 22.01% in 2018 to 2.56% in 2021 before rising significantly to 38.02% in 2022. This pattern suggests a period of reduced profitability, potentially due to operational or market challenges, with substantial recovery or one-off improvements in the most recent year.

Regarding asset utilization, total asset turnover ratios remain relatively stable, with a slight decline from 0.45 in 2018 to 0.30 in 2020 and 2021, followed by a recovery to approximately 0.47–0.48 in 2022. The closeness of reported and adjusted turnover figures indicates consistency between reported and tax-adjusted data in this respect. This trend points to some contraction in the efficiency of asset use during 2019–2021, with improvement in 2022, aligning with the improved profitability.

Financial leverage ratios show a decreasing trend over the period. Reported leverage peaks at 2.51 in 2019, then declines steadily to 1.94 by 2022. Adjusted leverage follows a similar pattern, decreasing from 2.28 in 2019 to 1.83 in 2022. This reduction indicates a possible deleveraging strategy or reduction in reliance on debt financing, which could influence risk profiles positively but also affect returns.

Return on equity (ROE) mirrors the net profit margin trends, showing a substantial decline from 19.34% (reported) and 18.80% (adjusted) in 2018 to lows of 2.20% and 1.43% respectively in 2021. Both measures then sharply increase in 2022 to approximately 33%. This suggests that shareholder returns suffered through 2019–2021 but experienced a strong rebound, possibly related to improved profitability and operational efficiency.

Return on assets (ROA) follows a similar trajectory, dropping from near double-digit levels in 2018 (9.15% reported, 9.82% adjusted) down to 1.13% and 0.78% in 2021, before improving to 17.40% and 18.06% in 2022. This reflects changes in overall asset profitability consistent with earlier observations.

In summary, the period from 2018 to 2021 was characterized by declining profitability, asset utilization, and returns, coupled with reduced financial leverage. The year 2022 displays a pronounced recovery across profitability and efficiency metrics, alongside sustained lower leverage levels. This pattern may indicate a combination of operational improvements, changed market conditions, or accounting adjustments impacting the tax and financial figures. The close alignment between reported and adjusted figures throughout suggests that deferred income tax adjustments have limited impact on the overall trend analysis.

Profitability Trends:

Steady decline from 2018 to 2021; sharp recovery in 2022.

Asset Turnover:

Decreased efficiency in 2019–2021; recovery in 2022.

Financial Leverage:

Decreasing trend, implying reduced debt reliance.

Return on Equity and Assets:

Decline through 2021; significant rebound in 2022, reflecting profitability shifts.

Impact of Tax Adjustments:

Minimal difference between reported and adjusted metrics, indicating consistent trends.

Net Income Analysis

The reported net income attributable to the company exhibited a general downward trend from 2018 to 2021, declining from approximately $693.6 million in 2018 to $123.7 million in 2021. In 2022, a significant recovery occurred, with the reported net income increasing sharply to approximately $2.69 billion. The adjusted net income followed a similar trajectory, decreasing from around $742.7 million in 2018 to $85.2 million in 2021, before rising substantially to about $2.78 billion in 2022. This pattern indicates a period of reduced profitability over several years, culminating in a strong rebound in the most recent year.

Net Profit Margin Analysis

The reported net profit margin declined consistently from 20.55% in 2018 to a low of 3.72% in 2021, reflecting diminishing profitability relative to revenue. However, in 2022, the margin increased markedly to 36.75%, indicating a considerably improved ability to convert revenue into profit. Adjusted net profit margin mirrored this trend, dropping from 22.01% in 2018 to a minimum of 2.56% in 2021, followed by a significant increase to 38.02% in 2022. The alignment between reported and adjusted margins suggests that adjustments for deferred income tax had relatively consistent effects across the periods.

Overall Trends and Insights

The financial data reveals a clear trend of declining net income and profit margins over a four-year period, likely indicating operational or market challenges during that timeframe. The sharp turnaround in 2022 suggests improved operating conditions, increased revenue efficiency, or beneficial tax-related adjustments contributing to enhanced net profitability. The close correspondence between reported and adjusted figures implies that deferred income tax adjustments did not materially distort the overall profitability trends, reinforcing the reliability of the financial performance recovery observed in 2022.

Total Assets

The reported total assets show a consistent upward trend throughout the period. Starting from approximately $7.58 billion at the end of 2018, assets grew steadily each year, reaching about $15.46 billion by the end of 2022. Similarly, the adjusted total assets follow the same pattern and closely track reported amounts, indicating minimal adjustments with values rising from $7.56 billion to $15.41 billion over the same time frame.

Total Asset Turnover

The reported total asset turnover ratio declined from 0.45 in 2018 to 0.30 in 2020 and remained stable at 0.30 through 2021. In 2022, there was a notable rebound to 0.47, surpassing the initial 2018 level. The adjusted total asset turnover exhibits an identical trend, declining during the first three years, stabilizing briefly, and then increasing in the final year to 0.48. This suggests improved efficiency in asset utilization in 2022 after a period of relative stagnation.

Overall Insights

The data indicates a significant expansion in the asset base over five years, more than doubling from 2018 to 2022. Despite the growth in assets, the company initially experienced a decreasing efficiency in generating revenue from its assets, as measured by the turnover ratios, until the trend reversed in 2022. The resurgence in asset turnover in the final year points to enhanced asset productivity, which may reflect better operational performance or a strategic adjustment in asset deployment. The close alignment of reported and adjusted figures suggests that deferred and annual income tax adjustments have minimal impact on these asset metrics.

The data reveals a consistent upward trend in both reported and adjusted total assets over the five-year period. Reported total assets rose significantly from approximately 7.58 billion US dollars in 2018 to about 15.46 billion US dollars in 2022, indicating substantial asset growth. Adjusted total assets follow a similar trajectory, increasing from roughly 7.56 billion to 15.41 billion US dollars over the same period, reflecting slight adjustments downward in asset valuation relative to reported figures.

Shareholders’ equity, both reported and adjusted, demonstrates a strong and steady increase throughout the years. Reported equity grew from approximately 3.59 billion US dollars at the end of 2018 to approximately 7.98 billion US dollars by the end of 2022, more than doubling in size. Adjusted shareholders’ equity similarly increased from about 3.95 billion to 8.42 billion US dollars, consistently remaining higher than the reported equity figures. This suggests adjustments that enhance the equity position once tax impacts are considered.

Financial leverage, measured as a ratio, exhibits a general declining trend over the period, both in reported and adjusted terms. Reported financial leverage peaked around 2.51 in 2019, before decreasing to approximately 1.94 in 2022. Adjusted financial leverage follows this pattern closely but remains consistently lower than the reported leverage, moving from 1.91 in 2018 to 1.83 in 2022. This reduction in leverage ratios indicates a deleveraging process, implying a stronger equity base relative to liabilities.

Overall, the trends suggest that the entity has experienced significant growth in asset base and equity capital while concurrently improving its capital structure by lowering leverage. The adjustments related to deferred tax and other tax-related effects typically increase the reported equity balances, reduce total assets slightly, and yield lower leverage ratios, reflecting a more conservative and possibly more accurate financial position after taxation impacts are taken into account.

Asset Growth

Steady increase in both reported and adjusted total assets, nearly doubling over five years.

Shareholders’ Equity

Robust equity growth with adjusted figures consistently above reported, indicating positive adjustments.

Financial Leverage

Overall downward trend in leverage ratios, signaling improved balance sheet strength and reduced reliance on debt.

Impact of Adjustments

Tax-related adjustments increase equity and reduce leverage, providing a more conservative financial outlook.

The analysis of the financial data reveals several noteworthy trends over the five-year period ending December 31, 2022. There is a clear pattern of fluctuation in both reported and adjusted net income attributable to the company, with a significant decline observed from 2018 through 2021, followed by a substantial recovery in 2022.

Net Income Trends

Reported net income decreased markedly from approximately $693.6 million in 2018 to a low of about $123.7 million in 2021, representing a continuous downward trend over four years. In 2022, however, there was a pronounced rebound to approximately $2.69 billion, which exceeds prior years' figures by a wide margin.

Adjusted net income followed a similar trajectory, falling from roughly $742.7 million in 2018 to $85.2 million in 2021, then recovering sharply to approximately $2.78 billion in 2022. The adjustments appear to moderately increase income values compared to reported figures during most years, although the gap narrows as values approach 2021 and widens again in 2022.

Shareholders’ Equity Patterns

The reported shareholders’ equity shows a consistent upward trend throughout the period, rising from around $3.59 billion in 2018 to approximately $7.98 billion in 2022. This steady increase suggests ongoing capital growth or retained earnings accumulation despite fluctuations in net income.

The adjusted equity figures are consistently higher than the reported values, increasing from about $3.95 billion in 2018 to $8.42 billion in 2022. This suggests that adjustments have the effect of recognizing additional equity components or correcting for deferred tax impacts, contributing to an enhanced equity base.

Return on Equity (ROE)

Both reported and adjusted ROE exhibit a declining trend from 2018 through 2021, in line with the net income decrease. Reported ROE falls from 19.34% in 2018 to a low of 2.2% in 2021, while adjusted ROE declines from 18.8% to 1.43% over the same period. In 2022, both metrics rebound sharply to above 33%, reflecting the strong net income recovery relative to the equity base.

The adjusted ROE values remain slightly below reported ROE figures across the majority of years, indicating that adjustments slightly dampen the return measure, except in the final year where the difference is less pronounced.

In summary, the company experienced a significant reduction in profitability and return metrics from 2018 to 2021, despite steady growth in shareholders’ equity. This period was followed by a remarkable recovery in 2022, with net income and ROE surging to levels substantially higher than in previous years. Adjusted figures broadly parallel reported data but provide a slightly more conservative view on profitability and equity strength, highlighting the impact of deferred income tax considerations on financial performance measurements.

The financial data reveals distinct trends in net income, total assets, and return on assets (ROA) for the periods presented. Both reported and adjusted net income show a downward trajectory from 2018 through 2021, followed by a pronounced increase in 2022. Specifically, reported net income declines from 693,562 thousand USD in 2018 to 123,672 thousand USD in 2021, before surging to 2,689,816 thousand USD in 2022. Adjusted net income follows a similar pattern, dipping from 742,726 thousand USD in 2018 to 85,172 thousand USD in 2021, then rising sharply to 2,783,155 thousand USD in 2022. This dramatic increase in 2022 is noteworthy and suggests a significant turnaround or favorable events impacting profitability.

Total assets, both reported and adjusted, exhibit a consistent upward trend across all periods. Reported total assets increase steadily from 7,581,674 thousand USD in 2018 to 15,456,522 thousand USD in 2022, nearly doubling over the timeframe. Adjusted total assets follow a similar pattern, marginally lower than reported figures but showing steady growth. This progressive increase in asset base may indicate expansion or investment activities undertaken by the company.

The analysis of ROA reveals a declining trend from 2018 through 2021, with both reported and adjusted figures diminishing over these years. Reported ROA drops from 9.15% in 2018 to 1.13% in 2021, while adjusted ROA declines from 9.82% to 0.78% in the same period. However, 2022 marks a substantial recovery, with reported ROA rising to 17.4% and adjusted ROA increasing to 18.06%. This reversal is consistent with the significant net income growth observed in 2022 and indicates enhanced profitability relative to asset size during that year.

Throughout the periods, adjusted figures for net income and total assets remain closely aligned with reported numbers but are consistently slightly higher for net income and slightly lower for total assets, suggesting minor adjustments likely related to deferred tax considerations. The ROA adjustments mirror these differences, with adjusted ROA generally surpassing reported ROA, except in 2021 where adjusted ROA is somewhat lower.

In summary, the data depicts a company facing declining profitability from 2018 to 2021 amid steady asset growth, followed by a significant recovery in 2022 characterized by a marked increase in net income and ROA. This shift highlights a notable improvement in operational or financial performance impacting the most recent year analyzed.