International Paper (IP)
Return on equity (ROE)
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | 557,000 | 420,000 | 435,000 | 172,000 | 288,000 | 746,000 | 1,532,000 | 1,808,000 | 1,903,000 | 1,836,000 | 1,749,000 | 1,670,000 | 1,752,000 | 1,798,000 | 1,138,000 | 972,000 | 482,000 | 494,000 | 634,000 | 660,000 |
| Total stockholders’ equity | US$ in thousands | 8,173,000 | 8,629,000 | 8,595,000 | 8,257,000 | 8,355,000 | 8,882,000 | 8,404,000 | 8,389,000 | 8,497,000 | 9,488,000 | 9,043,000 | 8,887,000 | 9,082,000 | 9,622,000 | 8,352,000 | 7,758,000 | 7,854,000 | 7,093,000 | 7,057,000 | 6,857,000 |
| ROE | 6.82% | 4.87% | 5.06% | 2.08% | 3.45% | 8.40% | 18.23% | 21.55% | 22.40% | 19.35% | 19.34% | 18.79% | 19.29% | 18.69% | 13.63% | 12.53% | 6.14% | 6.96% | 8.98% | 9.63% |
December 31, 2024 calculation
ROE = Net income (ttm) ÷ Total stockholders’ equity
= $557,000K ÷ $8,173,000K
= 6.82%
The return on equity (ROE) of International Paper has shown a fluctuating trend over the past few years. From March 31, 2020, to June 30, 2020, the ROE decreased slightly from 9.63% to 8.98%. Subsequently, there was a more significant decline in ROE to 6.96% by September 30, 2020. This downward trend continued into December 31, 2020, with an ROE of 6.14%.
However, starting from March 31, 2021, there was a notable improvement in ROE, which surged to 12.53% and continued to increase to 13.63% by June 30, 2021. The positive momentum carried on throughout the year, reaching 19.29% by December 31, 2021. The trend remained strong in the first half of 2022, with ROE peaking at 19.34% on June 30, 2022.
From September 30, 2022, to September 30, 2023, the ROE gradually declined from 19.35% to 8.40%, indicating a decrease in profitability. This was followed by a significant drop to 3.45% by December 31, 2023, and a further decline to 2.08% by March 31, 2024.
However, there was a slight recovery in the ROE by June 30, 2024, and September 30, 2024, with values of 5.06% and 4.87%, respectively. By the end of December 31, 2024, the ROE improved to 6.82%.
Overall, International Paper's ROE experienced fluctuations during the analyzed period, with periods of both growth and decline. This indicates varying levels of profitability and efficiency in generating returns for the company's shareholders.
Peer comparison
Dec 31, 2024