CH Robinson Worldwide Inc (CHRW)
Return on equity (ROE)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 465,690 | 325,129 | 940,524 | 844,245 | 506,421 |
| Total stockholders’ equity | US$ in thousands | 1,722,050 | 1,418,700 | 1,353,420 | 2,021,930 | 1,879,930 |
| ROE | 27.04% | 22.92% | 69.49% | 41.75% | 26.94% |
December 31, 2024 calculation
ROE = Net income ÷ Total stockholders’ equity
= $465,690K ÷ $1,722,050K
= 27.04%
The return on equity (ROE) of CH Robinson Worldwide Inc has displayed fluctuations over the period from December 31, 2020, to December 31, 2024. The ROE increased from 26.94% in 2020 to 41.75% in 2021, indicating improved efficiency in generating profits relative to shareholders' equity. Subsequently, the ROE rose significantly to 69.49% by December 31, 2022, reflecting a substantial enhancement in profitability and shareholder value.
However, there was a decline in ROE to 22.92% in 2023, suggesting a decrease in the company's ability to generate profits from shareholders' equity. This decrease may be attributed to various factors such as changes in operational efficiency, asset utilization, or financial leverage. In 2024, the ROE slightly improved to 27.04%, indicating a modest recovery in profitability relative to equity.
Overall, the trend in CH Robinson Worldwide Inc's ROE shows a mix of positive and negative movements, highlighting the importance of assessing the underlying factors that drove these fluctuations to better understand the company's financial performance and potential future prospects.
Peer comparison
Dec 31, 2024