XPO Logistics Inc (XPO)
Return on equity (ROE)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 189,000 | 666,000 | 336,000 | 110,000 | 419,000 |
| Total stockholders’ equity | US$ in thousands | 1,266,000 | 1,012,000 | 1,138,000 | 2,709,000 | 2,743,000 |
| ROE | 14.93% | 65.81% | 29.53% | 4.06% | 15.28% |
December 31, 2023 calculation
ROE = Net income ÷ Total stockholders’ equity
= $189,000K ÷ $1,266,000K
= 14.93%
XPO Inc's return on equity (ROE) has shown significant fluctuations over the past five years, ranging from 2.92% in 2020 to 65.81% in 2022. The ROE for 2023 stands at 14.93%, representing a decrease from the previous year but still higher than the 2019 figure of 13.82%.
The sharp increase in ROE in 2022 could indicate that the company generated substantial profits relative to shareholder equity during that year. However, the significant drop in 2023 suggests a decrease in profitability or a change in the company's capital structure.
Overall, XPO Inc's ROE performance demonstrates volatility and fluctuations in its ability to generate returns for shareholders over the past five years. Further analysis of the company's financial statements and operations would be necessary to understand the factors driving these changes in ROE.
Peer comparison
Dec 31, 2023