Eversource Energy (ES)
Return on equity (ROE)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | -434,700 | 1,412,400 | 1,228,050 | 1,212,700 | 916,600 |
| Total stockholders’ equity | US$ in thousands | 14,173,900 | 15,473,200 | 14,599,800 | 14,063,600 | 12,630,000 |
| ROE | -3.07% | 9.13% | 8.41% | 8.62% | 7.26% |
December 31, 2023 calculation
ROE = Net income ÷ Total stockholders’ equity
= $-434,700K ÷ $14,173,900K
= -3.07%
Eversource Energy's return on equity (ROE) has shown a downward trend over the past five years, as depicted by the following values: -3.12% in 2023, 9.08% in 2022, 8.36% in 2021, 8.57% in 2020, and 7.20% in 2019. The negative ROE in 2023 indicates that the company's net income for that year was not sufficient to generate a positive return for its shareholders based on the equity invested. The fluctuation in ROE from 2019 to 2022 suggests varying levels of profitability and efficiency in utilizing shareholder equity during those years. It would be advisable for stakeholders to further investigate the factors contributing to the recent decline in ROE in order to assess the company's financial health and performance.
Peer comparison
Dec 31, 2023