Itron Inc (ITRI)
Return on equity (ROE)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 96,923 | -9,732 | -81,255 | -57,955 | 49,006 |
| Total stockholders’ equity | US$ in thousands | 1,310,910 | 1,168,470 | 1,116,080 | 816,548 | 776,538 |
| ROE | 7.39% | -0.83% | -7.28% | -7.10% | 6.31% |
December 31, 2023 calculation
ROE = Net income ÷ Total stockholders’ equity
= $96,923K ÷ $1,310,910K
= 7.39%
Itron Inc.'s return on equity (ROE) has shown variability over the past five years. The ROE was 7.39% at the end of 2023, indicating a moderate return for shareholders relative to the company's equity. This represents an improvement compared to the negative ROE figures in the previous three years, with -0.83% in 2022, -7.28% in 2021, and -7.10% in 2020. The company experienced a positive ROE of 6.31% in 2019, suggesting a decent return to shareholders that year.
The negative ROE values in 2020, 2021, and 2022 may raise concerns about the company's profitability and efficiency in generating returns for its shareholders. It is essential for investors and stakeholders to monitor the company's ROE performance over time to assess its ability to utilize equity effectively to generate profits. The recent improvement in ROE in 2023 is a positive sign, but further analysis of the company's financial performance and operational efficiency is recommended to better understand the drivers behind these fluctuations in ROE.
Peer comparison
Dec 31, 2023