Privia Health Group Inc (PRVA)
Return on equity (ROE)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 14,385 | 23,079 | -12,064 | -190,649 | 31,244 |
| Total stockholders’ equity | US$ in thousands | 635,183 | 561,437 | 499,094 | 426,872 | 146,748 |
| ROE | 2.26% | 4.11% | -2.42% | -44.66% | 21.29% |
December 31, 2024 calculation
ROE = Net income ÷ Total stockholders’ equity
= $14,385K ÷ $635,183K
= 2.26%
Privia Health Group Inc's return on equity (ROE) has exhibited significant fluctuations over the past five years. As of December 31, 2020, the ROE stood at a healthy 21.29%, indicating that the company was generating a solid return for its equity shareholders. However, there was a drastic decline in ROE by December 31, 2021, dropping to -44.66%, signaling a substantial decrease in profitability relative to the equity invested.
The negative ROE in 2021 suggests that Privia Health Group Inc may have incurred losses or faced challenges impacting its ability to generate profits from shareholders' equity. This negative trend continued into the following year, with an ROE of -2.42% as of December 31, 2022, although the figure showed a slight improvement.
The company's ROE improved slightly by December 31, 2023, reaching 4.11%, indicating a modest recovery in profitability. However, the ROE remained relatively low at 2.26% as of December 31, 2024, suggesting that Privia Health Group Inc may still be facing challenges in maximizing returns for its equity investors.
In summary, Privia Health Group Inc's ROE performance indicates a volatile pattern over the analyzed period, with significant fluctuations and periods of negative returns that may require further investigation into the company's financial performance and operational efficiency.
Peer comparison
Dec 31, 2024