Cinemark Holdings Inc (CNK)
Return on equity (ROE)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 309,700 | 188,200 | -271,200 | -422,800 | -616,800 |
| Total stockholders’ equity | US$ in thousands | -528,300 | 286,600 | -485,200 | 322,900 | 787,973 |
| ROE | — | 65.67% | — | -130.94% | -78.28% |
December 31, 2024 calculation
ROE = Net income ÷ Total stockholders’ equity
= $309,700K ÷ $-528,300K
= —
Cinemark Holdings Inc's return on equity (ROE) experienced significant fluctuations over the years.
In 2020, the company reported an ROE of -78.28%, indicating that its net income was insufficient to generate positive returns for shareholders. This negative ROE suggests that the company's profitability was weak relative to its equity base in that year.
The situation worsened in 2021, with the ROE plummeting to -130.94%, showing a further deterioration in the company's performance and financial health. The substantial decline in ROE may imply challenges in generating profits and effectively utilizing shareholders' equity.
For 2022 and 2024, the ROE data is marked as "—," which suggests that no specific ROE figure is available for these years. This lack of data may indicate incomplete reporting or specific circumstances that prevented the calculation of ROE for those periods.
However, there was a positive turn in 2023, as the ROE rebounded to 65.67%, reflecting a drastic improvement in profitability and the company's ability to generate higher returns for its equity holders. This significant increase in ROE could signal stronger financial performance and efficiency in utilizing shareholders' equity to drive earnings growth.
In conclusion, Cinemark Holdings Inc's ROE has shown volatility and fluctuation over the years, with periods of both negative and positive returns. Investors and stakeholders should closely monitor future developments and trends in ROE to assess the company's financial performance and profitability.