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

Company name
Symbol
ROE
Chesapeake Utilities Corporation
CPK
7.00%
ONEOK Inc
OKE
16.13%
Southwest Gas Holdings Inc
SWX
4.56%