Chesapeake Utilities Corporation (CPK)
Return on equity (ROE)
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | 87,212 | 88,034 | 88,289 | 89,207 | 89,796 | 85,998 | 88,811 | 85,573 | 83,106 | 83,318 | 76,464 | 70,955 | 65,152 | 65,152 | 65,152 | 65,152 | 65,152 | 60,389 | 60,306 | 58,387 |
| Total stockholders’ equity | US$ in thousands | 1,246,100 | 866,677 | 864,228 | 858,588 | 832,801 | 814,438 | 815,701 | 805,512 | 774,130 | 750,962 | 741,564 | 726,388 | 697,085 | 616,690 | 593,277 | 584,129 | 561,577 | 544,711 | 544,384 | 543,659 |
| ROE | 7.00% | 10.16% | 10.22% | 10.39% | 10.78% | 10.56% | 10.89% | 10.62% | 10.74% | 11.09% | 10.31% | 9.77% | 9.35% | 10.56% | 10.98% | 11.15% | 11.60% | 11.09% | 11.08% | 10.74% |
December 31, 2023 calculation
ROE = Net income (ttm) ÷ Total stockholders’ equity
= $87,212K ÷ $1,246,100K
= 7.00%
To analyze Chesapeake Utilities Corp's return on equity (ROE) trend, we observe fluctuations in ROE over the past eight quarters. ROE measures the company's profitability on shareholder equity, reflecting its ability to generate earnings from the capital invested by shareholders.
The ROE of Chesapeake Utilities Corp has shown a declining trend from Q4 2022 to Q4 2023, with values decreasing from 10.78% to 7.00%. This decline indicates a reduction in the company's ability to generate profits relative to its shareholder equity during this period.
The ROE fluctuated between 10.16% and 10.93% during the first three quarters of 2023, showing relative stability in profitability compared to shareholder equity. However, the decrease in ROE to 7.00% in Q4 2023 suggests a potential concern regarding the company's operational efficiency and profitability.
Further analysis is recommended to understand the factors driving the fluctuations in Chesapeake Utilities Corp's ROE, assess its operational performance and management of shareholder equity, and identify areas for improvement to enhance profitability and maximize returns for shareholders.
Peer comparison
Dec 31, 2023