Visteon Corp (VC)
Return on equity (ROE)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 274,000 | 486,000 | 124,000 | 41,000 | -48,000 |
| Total stockholders’ equity | US$ in thousands | 1,229,000 | 1,038,000 | 675,000 | 516,000 | 387,000 |
| ROE | 22.29% | 46.82% | 18.37% | 7.95% | -12.40% |
December 31, 2024 calculation
ROE = Net income ÷ Total stockholders’ equity
= $274,000K ÷ $1,229,000K
= 22.29%
Visteon Corp's return on equity (ROE) has shown significant fluctuations over the years, indicating varying levels of efficiency in utilizing shareholder equity to generate profits.
In December 2020, the ROE was negative at -12.40%, suggesting that the company was not effectively leveraging its equity to generate returns for shareholders. However, there was a turnaround in December 2021, with the ROE improving to 7.95%, which indicated a positive shift towards profitability.
The trend continued in December 2022, as the ROE further increased to 18.37%, showing an improving ability to generate profit from equity investments. The most significant improvement was seen in December 2023, with a ROE of 46.82%, reflecting a substantial jump in the company's profitability and efficiency in utilizing shareholder equity.
In December 2024, the ROE decreased to 22.29%, which, although lower than the previous year, still signifies a relatively strong return on equity. Overall, the trend indicates that Visteon Corp has made significant progress in enhancing its profitability and the efficient use of shareholder equity over the years covered in the data.
Peer comparison
Dec 31, 2024