General Mills Inc (GIS)

Return on equity (ROE)

		May 31, 2025	May 31, 2024	May 26, 2024	May 31, 2023	May 28, 2023
Net income	US$ in thousands	2,284,700	2,496,600	2,496,600	2,593,900	2,593,900
Total stockholders’ equity	US$ in thousands	9,199,200	9,396,700	9,396,700	10,449,600	10,449,600
ROE		24.84%	26.57%	26.57%	24.82%	24.82%

May 31, 2025 calculation

ROE = Net income ÷ Total stockholders’ equity
= $2,284,700K ÷ $9,199,200K
= 24.84%

The analysis of General Mills Inc.'s return on equity (ROE) over the specified period reveals an overall positive trend with some fluctuations. On May 28, 2023 and May 31, 2023, the company's ROE stood at 24.82%, indicating a consistent level of profitability relative to shareholders' equity during this time frame.

By May 26, 2024, the ROE increased notably to 26.57%, reflecting an improvement in the company's efficiency at generating profits from shareholders' investments. This upward movement suggests that the company was able to enhance its net income relative to its equity base during this period, potentially due to improved operational performance or favorable market conditions.

However, the ROE remained stable at 26.57% on May 31, 2024, indicating that the company's profitability stabilized at this higher level following the increase observed earlier in the year. This stabilization suggests effective management and consistent profitability metrics during this period.

Subsequently, by May 31, 2025, the ROE decreased slightly to 24.84%. Despite this decline, the ratio remains comparable to the levels seen in mid-2023, implying that while there was a slight reduction in profitability relative to equity, the company continued to generate substantial returns for shareholders. This modest decrease may be attributable to various factors such as changes in net income, equity, or both, which would need further analysis for detailed insights.

Overall, General Mills Inc. exhibited a period of growth in ROE leading into the 2024 fiscal year, followed by a stabilization and a minor decline by 2025. This pattern suggests effective utilization of equity for generating profits, with a recent slight decrease that could warrant ongoing monitoring to understand underlying causes.