Walt Disney Company (DIS)

Return on equity (ROE)

		Sep 30, 2023	Sep 30, 2022	Sep 30, 2021	Sep 30, 2020	Sep 30, 2019
Net income	US$ in thousands	2,354,000	3,145,000	1,995,000	-2,864,000	11,054,000
Total stockholders’ equity	US$ in thousands	99,277,000	95,008,000	88,553,000	83,583,000	88,877,000
ROE		2.37%	3.31%	2.25%	-3.43%	12.44%

September 30, 2023 calculation

ROE = Net income ÷ Total stockholders’ equity
= $2,354,000K ÷ $99,277,000K
= 2.37%

Walt Disney Co's return on equity (ROE) has fluctuated over the past five years. The ROE was 2.37% as of September 30, 2023, which represents a decrease from the previous year's ROE of 3.31% as of October 1, 2022. This downward trend is notable, as it follows a period of ROE improvement from 2019 to 2022.

The company's ROE was 2.25% as of October 2, 2021, indicating a slight decrease from the prior year. However, in 2020, the ROE was negative at -3.43%, signifying that the company's net income did not exceed the shareholders' equity, indicating potential financial challenges.

In contrast, the ROE stood at a notably higher 12.44% as of September 28, 2019, suggesting stronger financial performance at that time.

Overall, the ROE trend demonstrates variability in the company's ability to generate profits from its shareholders' equity, with recent years showing diminished returns compared to 2019. It is essential for stakeholders to monitor this metric closely to assess the company's performance and future profitability.