Chemours Co (CC)
Return on equity (ROE)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | -238,000 | 578,000 | 608,000 | 219,000 | -52,000 |
| Total stockholders’ equity | US$ in thousands | 737,000 | 1,107,000 | 1,081,000 | 813,000 | 689,000 |
| ROE | -32.29% | 52.21% | 56.24% | 26.94% | -7.55% |
December 31, 2023 calculation
ROE = Net income ÷ Total stockholders’ equity
= $-238,000K ÷ $737,000K
= -32.29%
The return on equity (ROE) for Chemours Co has displayed significant fluctuations over the past five years. In 2023, the ROE decreased sharply to -32.29%, indicating a negative return for shareholders on their equity investment. This steep decline from the previous years suggests potential challenges or inefficiencies within the company impacting its profitability.
In contrast, the ROE was notably high in 2022 at 52.21%, reflecting a strong return for shareholders relative to the equity invested. This positive performance in 2022 indicated efficient use of the company's assets and effective management of its financial structure.
Similarly, in 2021, the ROE remained relatively high at 56.24%, indicating continued strong performance and profitability for shareholders. The consistent trend of high ROE in both 2021 and 2022 suggests a robust financial position and effective utilization of resources by the company.
In 2020, the ROE was moderate at 26.94%, indicating a decent return for shareholders on their equity investment. Although slightly lower than in the previous years, the 2020 ROE still demonstrated a satisfactory level of profitability and performance for Chemours Co.
Furthermore, in 2019, the ROE was negative at -7.55%, signaling a loss on shareholders' equity investment. This negative ROE in 2019 may point to challenges or setbacks faced by the company during that period, impacting its financial performance and profitability.
Overall, the fluctuating trend in Chemours Co's ROE over the past five years suggests varying levels of profitability and efficiency in utilizing shareholders' equity. It is important for investors and stakeholders to closely monitor the company's financial performance and factors influencing its ROE to assess its overall financial health and sustainability.
Peer comparison
Dec 31, 2023