Green Brick Partners Inc (GRBK)
Return on equity (ROE)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 381,583 | 284,626 | 291,900 | 190,210 | 113,693 |
| Total stockholders’ equity | US$ in thousands | 1,625,420 | 1,300,700 | 1,061,910 | 874,548 | 640,242 |
| ROE | 23.48% | 21.88% | 27.49% | 21.75% | 17.76% |
December 31, 2024 calculation
ROE = Net income ÷ Total stockholders’ equity
= $381,583K ÷ $1,625,420K
= 23.48%
Green Brick Partners Inc's return on equity (ROE) has shown a positive trend over the past five years. The ROE increased from 17.76% as of December 31, 2020, to 23.48% as of December 31, 2024. This indicates that the company has been effectively utilizing its equity to generate profits for its shareholders.
The ROE peaked at 27.49% on December 31, 2022, showing a significant improvement in the company's profitability and efficiency in that year. Although there was a slight dip in ROE in 2023 to 21.88%, the company managed to bounce back with a higher ROE of 23.48% in 2024.
Overall, the increasing trend in Green Brick Partners Inc's ROE reflects positively on its financial health and management's ability to generate returns from shareholders' equity. It suggests that the company is efficiently utilizing its resources to drive profitability and enhance shareholder value over the years.
Peer comparison
Dec 31, 2024