The AES Corporation (AES)
Return on equity (ROE)
| 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 | 249,000 | -560,000 | -370,000 | -510,000 | -546,000 | -275,000 | -353,000 | -146,000 | -409,000 | 541,000 | -135,000 | -246,000 | 46,000 | -350,000 | 193,000 | 293,000 | 303,000 | 509,000 | 400,000 | 673,000 |
| Total stockholders’ equity | US$ in thousands | 2,488,000 | 2,779,000 | 2,492,000 | 2,362,000 | 2,437,000 | 3,409,000 | 2,995,000 | 3,044,000 | 2,798,000 | 3,482,000 | 3,265,000 | 3,377,000 | 2,634,000 | 2,004,000 | 2,462,000 | 2,539,000 | 2,996,000 | 3,140,000 | 3,208,000 | 3,234,000 |
| ROE | 10.01% | -20.15% | -14.85% | -21.59% | -22.40% | -8.07% | -11.79% | -4.80% | -14.62% | 15.54% | -4.13% | -7.28% | 1.75% | -17.47% | 7.84% | 11.54% | 10.11% | 16.21% | 12.47% | 20.81% |
December 31, 2023 calculation
ROE = Net income (ttm) ÷ Total stockholders’ equity
= $249,000K ÷ $2,488,000K
= 10.01%
AES Corp.'s return on equity (ROE) has exhibited significant fluctuations over the past eight quarters, ranging from a low of -22.40% in Q4 2022 to a high of 10.01% in Q4 2023. The negative ROE figures in Q1 2022, Q2 2022, Q3 2022, Q1 2023, and Q3 2023 indicate that the company's net income was insufficient to cover its shareholders' equity during those periods.
The positive ROE of 10.01% in Q4 2023 suggests that AES was able to generate a profit that exceeded its shareholders' equity for the fourth quarter of 2023. This improvement in ROE may indicate better financial performance and efficiency in utilizing the shareholders' investment in the company.
Overall, the fluctuating ROE trend indicates variability in AES Corp.'s profitability and efficiency in generating returns for shareholders. It would be important for investors and analysts to further investigate the factors contributing to these fluctuations to assess the company's financial health and prospects for future growth.