Blackline Inc (BL)
Return on equity (ROE)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 161,174 | 52,833 | -33,891 | -100,994 | -39,402 |
| Total stockholders’ equity | US$ in thousands | 446,669 | 260,881 | 111,868 | 325,036 | 422,070 |
| ROE | 36.08% | 20.25% | -30.30% | -31.07% | -9.34% |
December 31, 2024 calculation
ROE = Net income ÷ Total stockholders’ equity
= $161,174K ÷ $446,669K
= 36.08%
The return on equity (ROE) for Blackline Inc has shown significant fluctuations over the past five years. In 2020, the ROE was negative at -9.34%, indicating that the company was not efficiently generating profits from shareholders' equity. The trend worsened in 2021 and 2022, where the ROE further declined to -31.07% and -30.30% respectively, reflecting a continued struggle in utilizing equity effectively.
However, there was a notable turnaround in 2023, with the ROE jumping to a positive 20.25%. This suggests that the company improved its profitability relative to shareholder investments during that period. The positive momentum continued into 2024, with a significant increase in ROE to 36.08%, indicating a stronger ability to generate profits from shareholders' equity.
In conclusion, Blackline Inc's ROE has experienced significant fluctuations, reflecting both challenges and improvements in utilizing shareholder equity efficiently. The recent positive trend in ROE indicates a potential strengthening of the company's profitability relative to its equity base.
Peer comparison
Dec 31, 2024