GE Aerospace (GE)
Return on equity (ROE)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 6,556,000 | 9,482,000 | 339,000 | -6,520,000 | 5,704,000 |
| Total stockholders’ equity | US$ in thousands | 19,342,000 | 27,403,000 | 33,696,000 | 40,310,000 | 35,552,000 |
| ROE | 33.90% | 34.60% | 1.01% | -16.17% | 16.04% |
December 31, 2024 calculation
ROE = Net income ÷ Total stockholders’ equity
= $6,556,000K ÷ $19,342,000K
= 33.90%
The return on equity (ROE) of GE Aerospace has shown fluctuations over the years. In December 31, 2020, the ROE was 16.04%, indicating a decent return on the shareholders' equity. However, by December 31, 2021, the ROE had turned negative at -16.17%, suggesting that the company was not generating sufficient profits relative to its equity.
In the following year, by December 31, 2022, the ROE improved slightly to 1.01%, but still remained relatively low. Subsequently, by December 31, 2023, there was a significant increase in ROE to 34.60%, indicating a strong performance and higher profitability.
By December 31, 2024, the ROE remained high at 33.90%, demonstrating the company's ability to generate substantial returns for its shareholders. Overall, the fluctuating trend in ROE suggests varying levels of profitability and efficiency in utilizing the shareholders' equity by GE Aerospace over the years.
Peer comparison
Dec 31, 2024