Apple Inc (AAPL)

Return on equity (ROE)

		Sep 30, 2024	Sep 30, 2023	Sep 30, 2022	Sep 30, 2021	Sep 30, 2020
Net income	US$ in thousands	93,736,000	96,995,000	99,803,000	94,680,000	57,411,000
Total stockholders’ equity	US$ in thousands	56,950,000	62,146,000	50,672,000	63,090,000	65,339,000
ROE		164.59%	156.08%	196.96%	150.07%	87.87%

September 30, 2024 calculation

ROE = Net income ÷ Total stockholders’ equity
= $93,736,000K ÷ $56,950,000K
= 164.59%

Apple Inc's return on equity (ROE) has shown a consistent upward trend over the past five years, reflecting the company's ability to generate higher profits from the shareholders' equity invested in the business.

In the most recent fiscal year ending September 30, 2024, Apple's ROE reached an impressive 164.59%, indicating that the company generated $1.65 in net income for every dollar of shareholders' equity. This signifies a strong profitability and efficiency in utilizing the equity financing to drive earnings growth.

Comparing this to the previous year, where the ROE was 156.08%, we see a slight improvement in the company's ability to generate returns on equity. The trend of increasing ROE over the years demonstrates Apple's effective management of its resources and financial performance.

Furthermore, when looking at the ROE of 2022 and 2021 at 196.96% and 150.07% respectively, it is evident that Apple maintained a high level of profitability and efficiency during those periods. The considerable increase in ROE from 2020 to 2021 highlights a significant improvement in the company's profitability metrics.

Overall, Apple's consistently high ROE figures indicate that the company is efficiently utilizing its shareholders' equity to generate profits and create value, which is a positive signal for investors and stakeholders concerning the company's financial health and performance.