Century Communities Inc (CCS)
Return on equity (ROE)
Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
---|---|---|---|---|---|---|
Net income | US$ in thousands | 333,816 | 259,224 | 525,126 | 498,504 | 206,157 |
Total stockholders’ equity | US$ in thousands | 2,620,860 | 2,386,940 | 2,150,220 | 1,764,510 | 1,280,700 |
ROE | 12.74% | 10.86% | 24.42% | 28.25% | 16.10% |
December 31, 2024 calculation
ROE = Net income ÷ Total stockholders’ equity
= $333,816K ÷ $2,620,860K
= 12.74%
Century Communities Inc's return on equity (ROE) is a key financial metric that indicates how effectively the company is generating profit from shareholders' equity. The trend analysis of ROE over the past five years shows a fluctuating pattern.
- In 2020, the ROE was 16.10%, indicating that the company generated a return of 16.10% on shareholders' equity during that year.
- The following year, in 2021, the ROE significantly improved to 28.25%, reflecting a more efficient utilization of equity to generate profits.
- By the end of 2022, the ROE remained strong at 24.42%, sustaining profitability levels above the 20% threshold, a positive sign for investors.
- However, in 2023, the ROE dropped to 10.86%, indicating a decline in the company's ability to generate returns on equity, possibly due to changes in the business environment or internal factors.
- By the end of 2024, the ROE slightly recovered to 12.74%, but it remained below the levels seen in 2021 and 2022.
Overall, the fluctuating trend in ROE suggests that Century Communities Inc has experienced varying levels of profitability and efficiency in utilizing shareholders' equity to generate returns over the past five years. Further analysis of the company's financial performance and strategic initiatives would be needed to understand the factors influencing these fluctuations in ROE.
Peer comparison
Dec 31, 2024