Northwest Natural Gas Co (NWN)

Return on equity (ROE)

Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Net income US$ in thousands 93,868 86,303 78,666 76,781 61,735
Total stockholders’ equity US$ in thousands 1,283,840 1,175,440 935,146 888,733 865,999
ROE 7.31% 7.34% 8.41% 8.64% 7.13%

December 31, 2023 calculation

ROE = Net income ÷ Total stockholders’ equity
= $93,868K ÷ $1,283,840K
= 7.31%

Northwest Natural Holding Co has exhibited a relatively consistent return on equity (ROE) over the past five years, with ROE ranging from 7.13% in 2019 to 8.64% in 2020. The ROE decreased slightly in 2022 to 7.34% and further to 7.31% in 2023. This indicates that the company's ability to generate profit from its shareholders' equity has been relatively stable, showing a moderate performance in recent years. However, it is important for the company to continue monitoring and improving its ROE to ensure sustainable profitability and value creation for its shareholders.