Visteon Corp (VC)

Return on equity (ROE)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Net income	US$ in thousands	486,000	124,000	41,000	-56,000	70,000
Total stockholders’ equity	US$ in thousands	1,038,000	675,000	516,000	387,000	480,000
ROE		46.82%	18.37%	7.95%	-14.47%	14.58%

December 31, 2023 calculation

ROE = Net income ÷ Total stockholders’ equity
= $486,000K ÷ $1,038,000K
= 46.82%

The return on equity (ROE) of Visteon Corp. has shown significant fluctuations over the past five years.

In 2023, the ROE surged to 46.82%, reflecting a substantial increase compared to the previous year. This indicates that the company generated a strong return for its shareholders relative to its equity during the year.

In 2022, the ROE stood at 18.37%, showing an improvement from the previous year. This suggests that the company's profitability and efficiency in utilizing its shareholders' equity had increased.

In 2021, the ROE was 7.95%, indicating a modest return generated for shareholders relative to the equity invested. While this was an improvement from the negative ROE in 2020, the return was still relatively low compared to the following years.

In 2020, the ROE was -14.47%, signaling a negative return that year. This suggests that the company's net income was insufficient to cover the equity capital invested by shareholders, resulting in a loss on equity.

In 2019, the ROE was 14.58%, indicating a positive return for shareholders relative to the equity invested. This suggests that the company was able to generate a reasonable return during that year.

Overall, the ROE of Visteon Corp. has shown volatility over the years, with significant fluctuations in profitability and efficiency in generating returns for shareholders. It is essential for investors and stakeholders to closely monitor these trends to assess the company's performance and financial health.