Celanese Corporation (CE)
Return on equity (ROE)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | -1,522,000 | 1,960,000 | 1,894,000 | 1,890,000 | 1,985,000 |
| Total stockholders’ equity | US$ in thousands | 5,175,000 | 7,091,000 | 5,637,000 | 4,189,000 | 3,526,000 |
| ROE | -29.41% | 27.64% | 33.60% | 45.12% | 56.30% |
December 31, 2024 calculation
ROE = Net income ÷ Total stockholders’ equity
= $-1,522,000K ÷ $5,175,000K
= -29.41%
Celanese Corporation's return on equity (ROE) has exhibited a declining trend over the past five years. Starting at a robust 56.30% on December 31, 2020, the ROE decreased to 45.12% by the end of 2021, signaling a decrease in the company's ability to generate profits from shareholders' equity.
The downward trend persisted as the ROE further decreased to 33.60% by December 31, 2022, and dropped significantly to 27.64% by the end of 2023. Notably, by December 31, 2024, the ROE turned negative to -29.41%, indicating that the company's net income was insufficient to cover shareholders' equity, potentially raising concerns about profitability and efficiency.
Overall, the declining trend in Celanese Corporation's ROE suggests a deterioration in the company's profitability and efficiency in generating returns for its shareholders over the specified period. Further analysis of the company's financial and operational performance may be necessary to identify the factors contributing to this decline and to implement appropriate strategies to improve ROE in the future.
Peer comparison
Dec 31, 2024