Newmont Goldcorp Corp (NEM)
Return on equity (ROE)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 3,348,000 | -2,494,000 | -506,000 | 10,000 | 2,829,000 |
| Total stockholders’ equity | US$ in thousands | 30,109,000 | 29,027,000 | 19,354,000 | 22,022,000 | 23,008,000 |
| ROE | 11.12% | -8.59% | -2.61% | 0.05% | 12.30% |
December 31, 2024 calculation
ROE = Net income ÷ Total stockholders’ equity
= $3,348,000K ÷ $30,109,000K
= 11.12%
Newmont Goldcorp Corp's Return on Equity (ROE) has fluctuated over the past five years. The ROE was 12.30% in December 31, 2020, indicating a healthy return on shareholders' equity. However, there was a significant decrease in ROE to 0.05% in December 31, 2021, suggesting a decline in the company's ability to generate profit from its equity.
The trend continued to worsen in the following years, with ROE turning negative at -2.61% in December 31, 2022, and further declining to -8.59% in December 31, 2023. These negative ROE figures raise concerns about the company's profitability and efficiency in utilizing shareholders' equity.
However, there appears to be a positive turn in December 31, 2024, with ROE rebounding to 11.12%. This improvement may indicate that the company took steps to enhance its profitability and efficiency.
Overall, the fluctuating ROE figures for Newmont Goldcorp Corp reflect changing dynamics in the company's financial performance and efficiency in generating returns for its shareholders. A close monitoring of ROE trends is essential to assess the company's financial health and performance going forward.