Williams Companies Inc (WMB)

Return on equity (ROE)

Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 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
Net income (ttm) US$ in thousands 2,225,000 2,877,000 2,825,000 2,884,000 3,179,000 2,710,000 2,656,000 2,596,000 2,049,000 2,002,000 1,567,000 1,471,000 1,517,000 1,011,000 1,155,000 1,154,000 211,000 219,000 131,000 138,000
Total stockholders’ equity US$ in thousands 12,436,000 12,428,000 12,296,000 12,449,000 12,402,000 11,845,000 11,679,000 11,785,000 11,485,000 11,319,000 11,226,000 11,316,000 11,423,000 11,198,000 11,512,000 11,702,000 11,769,000 12,065,000 12,212,000 12,354,000
ROE 17.89% 23.15% 22.97% 23.17% 25.63% 22.88% 22.74% 22.03% 17.84% 17.69% 13.96% 13.00% 13.28% 9.03% 10.03% 9.86% 1.79% 1.82% 1.07% 1.12%

December 31, 2024 calculation

ROE = Net income (ttm) ÷ Total stockholders’ equity
= $2,225,000K ÷ $12,436,000K
= 17.89%

Williams Companies Inc's return on equity (ROE) has shown fluctuations over the past few years. The ROE was relatively low, ranging from 1.07% to 1.82%, in the first half of 2020. However, there was a significant increase in ROE starting from March 31, 2021, reaching a peak of 25.63% by December 31, 2023. This surge in ROE indicates that the company was able to generate higher profits relative to shareholders' equity during this period.

Although there was a slight decrease in ROE in the first half of 2024, with values ranging from 22.74% to 17.89%, it remained at a relatively high level compared to the earlier years. Overall, the trend in ROE indicates that Williams Companies Inc has been effectively utilizing equity to generate returns for its shareholders, with a notable improvement in profitability and efficiency in recent years. However, it will be important to monitor future trends to ensure sustainable growth and performance.