Light & Wonder Inc (LNW)
Return on equity (ROE)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 163,000 | 3,675,000 | 371,000 | -569,000 | -130,000 |
| Total stockholders’ equity | US$ in thousands | 765,000 | 990,000 | -2,256,000 | -2,653,000 | -2,108,000 |
| ROE | 21.31% | 371.21% | — | — | — |
December 31, 2023 calculation
ROE = Net income ÷ Total stockholders’ equity
= $163,000K ÷ $765,000K
= 21.31%
The return on equity (ROE) of Light & Wonder Inc has exhibited significant fluctuations over the past few years. In 2019, the company reported a notably high ROE of 371.21%, indicating a very strong performance in generating profits relative to shareholder equity. However, the ROE for 2020 and 2021 is not available in the data provided, suggesting a lack of visibility into the company's financial performance during those years.
In 2022, there was a sharp decrease in ROE to 21.31%, indicating a substantial decline in the company's ability to generate profits from shareholders' equity compared to the previous year. This substantial drop may raise concerns about the company's operational efficiency, profitability, or financial leverage.
Without data for 2020 and 2021, it is challenging to assess the trend in ROE over a more extended period accurately. However, it is essential for stakeholders to investigate the reasons behind the fluctuating ROE figures to determine the factors influencing the company's profitability and efficiency in generating returns for shareholders.
Peer comparison
Dec 31, 2023