Expedia Group Inc. (EXPE)
Return on equity (ROE)
Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
---|---|---|---|---|---|---|
Net income | US$ in thousands | 1,234,000 | 797,000 | 352,000 | 12,000 | -2,612,000 |
Total stockholders’ equity | US$ in thousands | 1,557,000 | 1,534,000 | 2,283,000 | 2,057,000 | 1,510,000 |
ROE | 79.25% | 51.96% | 15.42% | 0.58% | -172.98% |
December 31, 2024 calculation
ROE = Net income ÷ Total stockholders’ equity
= $1,234,000K ÷ $1,557,000K
= 79.25%
Expedia Group Inc.'s return on equity (ROE) has shown significant volatility over the past few years. In December 2020, the ROE was a negative -172.98%, indicating that the company experienced a substantial loss relative to its equity. However, by the end of December 2021, the ROE had improved to a modest 0.58%, suggesting a marginal recovery.
The upward trend in ROE continued into December 2022, reaching 15.42%, indicating a more favorable return on equity for investors. By December 2023, Expedia's ROE had increased even further to 51.96%, reflecting a significant improvement in profitability and efficiency in generating returns for shareholders.
The most recent data point as of December 2024 shows an ROE of 79.25%, indicating a substantial improvement in the company's performance in utilizing its equity to generate profit. This demonstrates Expedia's ability to effectively leverage its equity to create value for its shareholders.
Overall, the trend in Expedia Group Inc.'s ROE from 2020 to 2024 reflects a turnaround in the company's profitability and efficiency in utilizing its equity, with a notable increase in returns for shareholders over the years.
Peer comparison
Dec 31, 2024