Builders FirstSource Inc (BLDR)

Return on equity (ROE)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Net income	US$ in thousands	1,540,560	2,749,370	1,725,420	313,537	221,809
Total stockholders’ equity	US$ in thousands	4,732,350	4,962,570	4,802,480	1,152,780	824,953
ROE		32.55%	55.40%	35.93%	27.20%	26.89%

December 31, 2023 calculation

ROE = Net income ÷ Total stockholders’ equity
= $1,540,560K ÷ $4,732,350K
= 32.55%

Builders Firstsource Inc's return on equity (ROE) has shown variability over the past five years. The ROE was highest in 2022 at 55.40% and lowest in 2019 at 26.89%. The ROE decreased in 2023 to 32.55% compared to the previous year, indicating a decline in the company's ability to generate profits from shareholders' equity. Despite the decrease, the ROE in 2023 remains relatively strong compared to 2020 and 2019. Overall, the company has demonstrated the ability to generate satisfactory returns on equity, with fluctuations reflecting changes in profitability and efficiency in the utilization of shareholder funds over the years.