Albemarle Corp (ALB)

Return on equity (ROE)

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Net income	US$ in thousands	-1,179,450	1,573,480	2,689,820	123,672	375,764
Total stockholders’ equity	US$ in thousands	9,961,520	9,412,180	7,982,630	5,625,270	4,268,230
ROE		-11.84%	16.72%	33.70%	2.20%	8.80%

December 31, 2024 calculation

ROE = Net income ÷ Total stockholders’ equity
= $-1,179,450K ÷ $9,961,520K
= -11.84%

The return on equity (ROE) for Albemarle Corp has shown significant fluctuations over the last few years.

In December 2020, the ROE was 8.80%, indicating that for every dollar of shareholders' equity, the company generated a return of 8.80%.

By December 2021, the ROE decreased to 2.20%, suggesting a decline in the company's profitability and efficiency in generating returns for shareholders.

However, in December 2022, the ROE surged to 33.70%, demonstrating a notable improvement in performance and efficiency of utilizing shareholders' equity to generate profits.

Subsequently, by December 2023, the ROE declined to 16.72%, although still showing a reasonable level of return on equity.

In the latest period, by December 2024, the ROE turned negative at -11.84%, indicating a concerning situation where the company is experiencing losses relative to shareholders' equity.

Overall, the fluctuations in ROE for Albemarle Corp reflect varying levels of profitability and efficiency in utilizing equity capital over the years, with the company experiencing both positive and negative trends in its returns.