World Kinect Corporation (WKC)
Return on equity (ROE)
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | 52,800 | 108,500 | 116,100 | 110,600 | 114,100 | 108,700 | 87,900 | 81,100 | 73,700 | 54,600 | 114,900 | 87,100 | 109,600 | 169,700 | 135,900 | 183,100 | 178,900 | 152,000 | 142,000 | 133,700 |
| Total stockholders’ equity | US$ in thousands | 1,943,000 | 1,968,300 | 1,959,100 | 2,008,300 | 1,984,900 | 1,939,700 | 1,915,700 | 1,941,400 | 1,912,700 | 1,919,700 | 1,946,200 | 1,939,500 | 1,909,300 | 1,916,000 | 1,815,000 | 1,846,400 | 1,890,400 | 1,842,100 | 1,799,400 | 1,840,300 |
| ROE | 2.72% | 5.51% | 5.93% | 5.51% | 5.75% | 5.60% | 4.59% | 4.18% | 3.85% | 2.84% | 5.90% | 4.49% | 5.74% | 8.86% | 7.49% | 9.92% | 9.46% | 8.25% | 7.89% | 7.27% |
December 31, 2023 calculation
ROE = Net income (ttm) ÷ Total stockholders’ equity
= $52,800K ÷ $1,943,000K
= 2.72%
The Return on Equity (ROE) for World Kinect Corp has shown some fluctuations over the past eight quarters. In Q4 2023, the ROE was at 2.72%, declining from the previous quarter's 5.51%. This decrease could indicate a reduction in the company's ability to generate profits from its shareholders' equity.
Overall, the company's ROE has been relatively stable, hovering around the 5% mark for most quarters in 2022 and 2023. While a ROE of 5% shows that the company is generating a modest return on the shareholders' equity, the fluctuations suggest that the company's profitability and efficiency in utilizing its equity have varied over time.
It would be important for World Kinect Corp to further analyze the factors impacting its ROE and implement strategies to ensure consistent and improved performance in this key financial ratio.