Cytokinetics Inc (CYTK)

Return on equity (ROE)

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Net income	US$ in thousands	-589,526	-526,244	-402,552	-242,370	-164,135
Total stockholders’ equity	US$ in thousands	-135,372	-386,323	-107,900	243,863	113,383
ROE		—	—	—	-99.39%	-144.76%

December 31, 2024 calculation

ROE = Net income ÷ Total stockholders’ equity
= $-589,526K ÷ $-135,372K
= —

The return on equity (ROE) of Cytokinetics Inc has shown a concerning trend over the past few years. As of December 31, 2020, the ROE was -144.76%, indicating that the company's net income was insufficient to cover its equity. By December 31, 2021, there was a slight improvement in the ROE, but it was still negative at -99.39%.

However, it is important to note that there is missing data for the ROE for the years 2022, 2023, and 2024, indicated as "—". This lack of information makes it difficult to assess whether there have been any significant changes or improvements in the company's ROE in the subsequent years.

Overall, the negative ROE figures suggest that Cytokinetics Inc has been experiencing challenges in generating profits relative to its shareholders' equity. It is crucial for the company to address the underlying issues affecting its profitability and efficiency in order to enhance its financial performance and ultimately create value for its shareholders.