Alliant Energy Corp (LNT)
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 | 690,000 | 661,000 | 625,000 | 698,000 | 703,000 | 689,000 | 657,000 | 656,000 | 685,000 | 666,000 | 695,000 | 680,000 | 659,000 | 635,000 | 625,000 | 615,000 | 614,000 | 661,500 | 641,500 | 602,100 |
| Total stockholders’ equity | US$ in thousands | 7,004,000 | 6,968,000 | 6,791,000 | 6,817,000 | 6,777,000 | 6,726,000 | 6,452,000 | 6,328,000 | 6,276,000 | 6,265,000 | 6,137,000 | 6,077,000 | 5,990,000 | 5,985,000 | 5,819,000 | 5,766,000 | 5,688,000 | 5,709,000 | 5,548,300 | 5,502,400 |
| ROE | 9.85% | 9.49% | 9.20% | 10.24% | 10.37% | 10.24% | 10.18% | 10.37% | 10.91% | 10.63% | 11.32% | 11.19% | 11.00% | 10.61% | 10.74% | 10.67% | 10.79% | 11.59% | 11.56% | 10.94% |
December 31, 2024 calculation
ROE = Net income (ttm) ÷ Total stockholders’ equity
= $690,000K ÷ $7,004,000K
= 9.85%
The return on equity (ROE) of Alliant Energy Corp has exhibited some fluctuations over the reported periods. The ROE ranged from a high of 11.59% in September 2020 to a low of 9.20% in June 2024. Overall, the ROE has shown a downward trend from 2022 onwards, declining from around 11% to below 10% by the end of 2024.
A high ROE is generally indicative of a company's ability to generate profits from its shareholder equity. The decline in ROE over the years could suggest potential challenges in generating sufficient profits relative to the shareholder's equity, which might be concerning for investors.
It is important for Alliant Energy Corp to closely monitor and address the factors impacting its ROE to ensure sustainable and competitive returns for its shareholders. This analysis underscores the significance of operational efficiency and profitability in maintaining a healthy ROE for the company.
Peer comparison
Dec 31, 2024