FTI Consulting Inc (FCN)
Return on equity (ROE)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 280,088 | 274,892 | 235,514 | 234,966 | 210,682 |
| Total stockholders’ equity | US$ in thousands | 2,258,290 | 1,981,420 | 1,681,720 | 1,583,320 | 1,400,180 |
| ROE | 12.40% | 13.87% | 14.00% | 14.84% | 15.05% |
December 31, 2024 calculation
ROE = Net income ÷ Total stockholders’ equity
= $280,088K ÷ $2,258,290K
= 12.40%
FTI Consulting Inc's return on equity (ROE) has been experiencing a gradual decline over the past five years, starting at 15.05% in December 31, 2020, and decreasing to 12.40% by December 31, 2024. This downward trend indicates a decrease in the company's ability to generate profits from its shareholders' equity investments. The decreasing ROE may signal potential inefficiencies in the company's operations or declining profitability relative to its equity base. It is essential for FTI Consulting Inc to closely monitor and address the factors contributing to this decreasing trend to enhance its profitability and shareholder value in the future.
Peer comparison
Dec 31, 2024