Ryder System Inc (R)
Return on equity (ROE)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 489,000 | 406,000 | 867,000 | 519,000 | -122,000 |
| Total stockholders’ equity | US$ in thousands | 3,117,000 | 3,069,000 | 2,937,000 | 2,798,000 | 2,256,000 |
| ROE | 15.69% | 13.23% | 29.52% | 18.55% | -5.41% |
December 31, 2024 calculation
ROE = Net income ÷ Total stockholders’ equity
= $489,000K ÷ $3,117,000K
= 15.69%
Ryder System Inc's return on equity (ROE) has shown fluctuations over the past five years. The ROE was negative at -5.41% on December 31, 2020, indicating that the company was not efficiently generating profits from shareholders' equity.
However, there was a significant improvement in ROE to 18.55% by December 31, 2021, suggesting a better utilization of equity to generate income. The trend continued upwards with ROE reaching 29.52% by December 31, 2022, indicating a strong performance in generating profits relative to shareholder investments.
By December 31, 2023, the ROE decreased to 13.23%, which could indicate a temporary setback or changes in the company's financial structure affecting profitability. Nonetheless, the ROE increased again to 15.69% by December 31, 2024, showing a recovery in profitability and efficiency in utilizing equity.
Overall, Ryder System Inc's ROE has varied over the years, with significant improvements seen in some periods, but also periods of decline. Investors may want to further investigate the factors driving these fluctuations to assess the company's overall financial performance and sustainability.
Peer comparison
Dec 31, 2024