FirstEnergy Corporation (FE)
Return on equity (ROE)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 1,102,000 | 406,000 | 1,283,000 | 1,079,000 | 912,000 |
| Total stockholders’ equity | US$ in thousands | 10,437,000 | 10,166,000 | 8,675,000 | 7,237,000 | 6,975,000 |
| ROE | 10.56% | 3.99% | 14.79% | 14.91% | 13.08% |
December 31, 2023 calculation
ROE = Net income ÷ Total stockholders’ equity
= $1,102,000K ÷ $10,437,000K
= 10.56%
Firstenergy Corp.'s return on equity (ROE) has varied over the past five years. In 2023, the ROE stood at 10.56%, showing an improvement compared to the previous year's ROE of 3.99% in 2022. However, it was lower than the ROE of 14.79% in 2021.
The ROE in 2020 and 2019 were relatively stable at 14.91% and 13.02%, respectively. It is important to note that ROE measures a company's profitability by evaluating how efficiently it generates profits from its equity.
The fluctuations in ROE over the years suggest changes in the company's financial performance and its ability to utilize its equity effectively to generate returns for shareholders. Further analysis of the company's financial statements and business operations could provide insights into the factors driving these fluctuations in ROE.
Peer comparison
Dec 31, 2023