Crescent Energy Co (CRGY)
Return on equity (ROE)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | -114,605 | 67,610 | 480,600 | -432,227 | -216,124 |
| Total stockholders’ equity | US$ in thousands | 3,139,630 | 1,704,820 | 848,113 | 682,209 | 2,716,890 |
| ROE | -3.65% | 3.97% | 56.67% | -63.36% | -7.95% |
December 31, 2024 calculation
ROE = Net income ÷ Total stockholders’ equity
= $-114,605K ÷ $3,139,630K
= -3.65%
Crescent Energy Co's return on equity (ROE) has exhibited significant fluctuations over the past five years. The ROE was negative in the years 2020, 2021, and 2024, indicating that the company's net income was insufficient to generate positive returns for shareholders relative to their equity investment.
In 2022, Crescent Energy Co experienced a substantial increase in ROE to 56.67%, suggesting that the company generated significant profit relative to its shareholder equity during that period. This surge in ROE may indicate improved efficiency in utilizing equity to generate earnings.
In 2023, Crescent Energy Co's ROE stood at 3.97%, suggesting a moderate profitability level compared to the previous year. While positive, this ROE figure indicates a lesser return on equity compared to 2022.
Overall, Crescent Energy Co's ROE has been volatile, with both negative and positive figures observed in recent years. The company's management should monitor and address the factors affecting ROE to sustain and enhance shareholder value in the future.
Peer comparison
Dec 31, 2024