Republic Services Inc (RSG)
Return on equity (ROE)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 2,043,000 | 1,731,000 | 1,487,600 | 1,290,400 | 967,200 |
| Total stockholders’ equity | US$ in thousands | 11,405,000 | 10,542,300 | 9,686,000 | 8,978,900 | 8,483,900 |
| ROE | 17.91% | 16.42% | 15.36% | 14.37% | 11.40% |
December 31, 2024 calculation
ROE = Net income ÷ Total stockholders’ equity
= $2,043,000K ÷ $11,405,000K
= 17.91%
Republic Services Inc's Return on Equity (ROE) has shown a positive trend over the past five years, increasing from 11.40% as of December 31, 2020, to 17.91% as of December 31, 2024. This indicates that the company has been able to generate higher profits relative to its shareholders' equity over time. The steady improvement in ROE suggests that Republic Services Inc has been effectively utilizing its shareholders' capital to generate earnings.
The increasing ROE reflects positively on the company's financial performance and management efficiency. It indicates that Republic Services Inc has been able to effectively leverage its equity to drive profitability and create value for its shareholders. This improvement may be attributed to various factors such as effective cost management, revenue growth, operational efficiency, and strategic decision-making.
Overall, the rising trend in ROE for Republic Services Inc demonstrates the company's ability to generate greater returns for its shareholders over the years, highlighting its strong financial performance and sustainable growth potential.
Peer comparison
Dec 31, 2024