Occidental Petroleum Corporation (OXY)

Return on equity (ROE)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Net income	US$ in thousands	4,696,000	13,304,000	2,322,000	-14,831,000	-985,000
Total stockholders’ equity	US$ in thousands	30,250,000	30,085,000	20,327,000	18,573,000	34,232,000
ROE		15.52%	44.22%	11.42%	-79.85%	-2.88%

December 31, 2023 calculation

ROE = Net income ÷ Total stockholders’ equity
= $4,696,000K ÷ $30,250,000K
= 15.52%

Occidental Petroleum Corp.'s return on equity (ROE) has seen fluctuations over the five-year period from 2019 to 2023. The company's ROE stood at -2.88% in 2019, reflecting a negative return on shareholders' equity. This was followed by a significant improvement in 2020, with a ROE of -84.40%, indicating a substantial decrease in the return relative to equity.

In 2021, the ROE increased to 7.44%, signaling a moderate recovery in the company's profitability and efficiency in generating returns for shareholders. The following year, in 2022, Occidental Petroleum Corp. demonstrated a noteworthy improvement in its ROE, reaching 41.29%, indicating a robust performance in utilizing equity to generate profits.

However, in 2023, the ROE declined to 12.40%, suggesting a decrease in the company's ability to generate returns on equity compared to the previous year. Overall, Occidental Petroleum Corp.'s ROE performance fluctuated significantly over the five-year period, with both positive and negative trends observed, indicating varying levels of profitability and efficiency in utilizing shareholders' equity.