Kirby Corporation (KEX)
Return on equity (ROE)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 222,935 | 122,291 | -246,954 | -272,546 | 142,347 |
| Total stockholders’ equity | US$ in thousands | 3,185,430 | 3,042,880 | 2,886,320 | 3,084,310 | 3,368,620 |
| ROE | 7.00% | 4.02% | -8.56% | -8.84% | 4.23% |
December 31, 2023 calculation
ROE = Net income ÷ Total stockholders’ equity
= $222,935K ÷ $3,185,430K
= 7.00%
Kirby Corp.'s return on equity (ROE) has displayed varying trends over the past five years. In 2023, the ROE improved to 7.00% from 4.02% in 2022, indicating a positive performance in utilizing shareholder equity to generate profits. This increase suggests the company became more effective in generating profits from shareholders' investments. However, it is important to note that while the ROE has improved in 2023, the profitability level is still relatively moderate.
In contrast, the ROE was negative in both 2021 and 2020, indicating that the company was not effectively utilizing shareholders' equity to generate profits during those years. The significant negative ROE figures suggest that the company experienced challenges in generating profits relative to the shareholders' investments.
Overall, the recent improvement in ROE in 2023 is a positive sign of enhanced profitability compared to the previous years. However, continuous monitoring is necessary to ensure sustained improvement and better returns for shareholders in the future.
Peer comparison
Dec 31, 2023