Murphy Oil Corporation (MUR)

Return on equity (ROE)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Net income	US$ in thousands	661,600	965,047	-73,664	-1,148,780	1,149,730
Total stockholders’ equity	US$ in thousands	5,362,790	4,994,770	4,157,310	4,214,340	5,467,460
ROE		12.34%	19.32%	-1.77%	-27.26%	21.03%

December 31, 2023 calculation

ROE = Net income ÷ Total stockholders’ equity
= $661,600K ÷ $5,362,790K
= 12.34%

Murphy Oil Corp.'s return on equity (ROE) has shown a fluctuating trend over the past five years. In 2023, the ROE stands at 12.34%, a decrease from 19.32% in 2022. Despite the decline, the company's ROE remains positive, indicating that it generated a return on shareholders' equity.

In 2021, Murphy Oil Corp. reported a negative ROE of -1.77%, suggesting that the company faced challenges in generating profits relative to its equity base. This was followed by a significant decrease in 2020, with ROE plummeting to -27.26%, indicating a substantial loss relative to shareholders' equity.

However, in 2019, the company's ROE rebounded strongly to 21.03%, signaling a robust performance in generating profits compared to shareholders' equity. It is essential for investors and stakeholders to monitor Murphy Oil Corp.'s ROE closely to assess its profitability and efficiency in utilizing equity to generate returns over time.