Boise Cascad Llc (BCC)
Return on equity (ROE)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 376,354 | 483,656 | 857,658 | 712,486 | 174,979 |
| Total stockholders’ equity | US$ in thousands | 2,151,270 | 2,195,660 | 2,057,980 | 1,352,620 | 850,799 |
| ROE | 17.49% | 22.03% | 41.67% | 52.67% | 20.57% |
December 31, 2024 calculation
ROE = Net income ÷ Total stockholders’ equity
= $376,354K ÷ $2,151,270K
= 17.49%
Boise Cascade LLC's return on equity (ROE) has exhibited fluctuating trends over the past five years. The ROE was 20.57% as of December 31, 2020, showing moderate profitability. Subsequently, the ROE experienced a significant increase to 52.67% by December 31, 2021, indicating improved efficiency in generating profits relative to shareholders' equity.
In the following year, the ROE slightly decreased to 41.67% by December 31, 2022, but still demonstrated a strong return for shareholders. However, in December 31, 2023, the ROE declined further to 22.03%, suggesting a decrease in profitability compared to the previous year.
By the end of December 31, 2024, Boise Cascade LLC's ROE dropped to 17.49%, indicating a continued decline in the company's ability to generate profits from shareholders' equity. It is essential for management to analyze the factors contributing to these fluctuations and implement strategies to improve ROE levels for sustainable growth and value creation for shareholders.