Return on Equity (ROE)
since 2012
Calculation
Enphase Energy Inc., ROE, long-term trends, calculation
| ROE | = | 100 | × | Net income (loss)1 | ÷ | Stockholders’ equity (deficit)1 | |
|---|---|---|---|---|---|---|---|
| Dec 31, 2023 | 44.62% | = | 100 | × | 438,936) | ÷ | 983,624) |
| Dec 31, 2022 | 48.13% | = | 100 | × | 397,362) | ÷ | 825,573) |
| Dec 31, 2021 | 33.81% | = | 100 | × | 145,449) | ÷ | 430,168) |
| Dec 31, 2020 | 27.69% | = | 100 | × | 133,995) | ÷ | 483,993) |
| Dec 31, 2019 | 59.20% | = | 100 | × | 161,148) | ÷ | 272,212) |
| Dec 31, 2018 | -149.52% | = | 100 | × | (11,627) | ÷ | 7,776) |
| Dec 31, 2017 | — | = | 100 | × | (45,192) | ÷ | (9,126) |
| Dec 31, 2016 | -5,189.38% | = | 100 | × | (67,462) | ÷ | 1,300) |
| Dec 31, 2015 | -53.28% | = | 100 | × | (22,082) | ÷ | 41,449) |
| Dec 31, 2014 | -17.15% | = | 100 | × | (8,052) | ÷ | 46,952) |
| Dec 31, 2013 | -64.45% | = | 100 | × | (25,913) | ÷ | 40,206) |
| Dec 31, 2012 | -67.46% | = | 100 | × | (38,218) | ÷ | 56,655) |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31).
1 US$ in thousands
The financial trajectory between 2012 and 2023 is characterized by a distinct transition from a period of systemic losses and equity instability to a phase of sustained profitability and high capital efficiency.
- Profitability and Net Income Trends
- A persistent trend of negative net income is observed from 2012 through 2018, with losses peaking in 2016 at US$67.46 million. A fundamental shift occurred in 2019, when the organization achieved its first positive net income of US$161.15 million. This upward momentum continued through 2023, with net income reaching US$438.94 million, indicating a successful pivot toward scalable profitability.
- Stockholders' Equity Evolution
- Equity levels exhibited significant volatility during the first seven years of the analyzed period. A notable capital deficit occurred in 2017, with stockholders' equity falling to negative US$9.13 million. Following 2018, a period of rapid equity expansion began, growing from US$7.78 million in 2018 to US$983.62 million by 2023. This growth suggests substantial retained earnings and a strengthened balance sheet.
- Return on Equity (ROE) Analysis
- ROE was characterized by extreme volatility and negative values from 2012 to 2018. The outlier in 2016, where ROE dropped to -5,189.38%, is attributable to the combination of significant net losses and a critically low equity base of US$1.3 million. The absence of a reported ROE in 2017 corresponds with the period of negative stockholders' equity.
- Recent Performance and Capital Efficiency
- Since 2019, ROE has remained consistently positive and robust. A peak ROE of 59.20% was recorded in 2019, followed by a stabilization period between 2020 and 2023, with values ranging from 27.69% to 48.13%. The ROE of 44.62% in 2023 demonstrates a high capacity to generate profit relative to the expanded equity base, signaling strong operational efficiency and value creation for shareholders.
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Comparison to Competitors
Enphase Energy Inc., ROE, long-term trends, comparison to competitors
| Enphase Energy Inc. | Advanced Micro Devices Inc. | Analog Devices Inc. | Applied Materials Inc. | Broadcom Inc. | Intel Corp. | KLA Corp. | Lam Research Corp. | Marvell Technology Inc. | Micron Technology Inc. | NVIDIA Corp. | Qualcomm Inc. | Texas Instruments Inc. | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Dec 31, 2023 | 44.62% | 1.53% | 9.32% | 41.94% | 58.70% | 1.60% | 116.01% | 54.94% | -1.05% | -13.22% | 19.76% | 33.51% | 38.53% |
| Dec 31, 2022 | 48.13% | 2.41% | 7.54% | 53.51% | 50.62% | 7.90% | 237.04% | 73.35% | -2.68% | 17.41% | 36.65% | 71.81% | 60.02% |
| Dec 31, 2021 | 33.81% | 42.18% | 3.66% | 48.08% | 26.99% | 20.83% | 61.53% | 64.85% | -3.29% | 13.34% | 25.64% | 90.88% | 58.27% |
| Dec 31, 2020 | 27.69% | 42.66% | 10.17% | 34.21% | 12.40% | 25.79% | 45.65% | 43.53% | 18.26% | 6.89% | 22.91% | 85.54% | 60.90% |
| Dec 31, 2019 | 59.20% | 12.06% | 11.64% | 32.94% | 10.92% | 27.16% | 44.21% | 46.89% | -2.45% | 17.59% | 44.33% | 89.35% | 56.33% |
| Dec 31, 2018 | -149.52% | 26.62% | 13.61% | 48.44% | 45.99% | 28.24% | 49.51% | 36.62% | 12.58% | 43.77% | 40.78% | -524.14% | 62.04% |
| Dec 31, 2017 | — | 7.04% | 7.16% | 36.73% | 8.34% | 13.91% | 69.82% | 24.90% | 0.53% | 27.33% | 28.91% | 8.02% | 35.62% |
| Dec 31, 2016 | -5,189.38% | -119.47% | 16.68% | 23.85% | -9.20% | 15.58% | 102.22% | 15.51% | -19.60% | -2.28% | 13.74% | 17.95% | 34.33% |
| Dec 31, 2015 | -53.28% | — | 13.74% | 18.09% | 28.94% | 18.70% | 86.88% | 12.85% | 8.46% | 23.57% | 14.27% | 16.78% | 30.02% |
| Dec 31, 2014 | -17.15% | -215.51% | 13.23% | 13.62% | 8.11% | 20.95% | 15.88% | 12.57% | 6.74% | 28.27% | 9.87% | 20.34% | 27.15% |
| Dec 31, 2013 | -64.45% | -15.26% | 14.21% | 3.61% | 19.13% | 16.51% | 15.60% | 2.54% | 6.84% | 13.02% | 11.65% | 18.99% | 20.01% |
| Dec 31, 2012 | -67.46% | -219.89% | 15.63% | 1.51% | 23.27% | 21.49% | 22.80% | 3.29% | 12.27% | -13.40% | 14.02% | 18.22% | 16.05% |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31).
Comparison to Sector (Semiconductors & Semiconductor Equipment)
Enphase Energy Inc., ROE, long-term trends, comparison to sector (semiconductors & semiconductor equipment)
| Enphase Energy Inc. | Semiconductors & Semiconductor Equipment | |
|---|---|---|
| Dec 31, 2023 | 44.62% | 12.69% |
| Dec 31, 2022 | 48.13% | 21.59% |
| Dec 31, 2021 | 33.81% | 24.91% |
| Dec 31, 2020 | 27.69% | 24.28% |
| Dec 31, 2019 | 59.20% | 25.76% |
| Dec 31, 2018 | -149.52% | 32.95% |
| Dec 31, 2017 | — | 16.60% |
| Dec 31, 2016 | -5,189.38% | 12.61% |
| Dec 31, 2015 | -53.28% | 18.69% |
| Dec 31, 2014 | -17.15% | 19.37% |
| Dec 31, 2013 | -64.45% | 15.49% |
| Dec 31, 2012 | -67.46% | 14.85% |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31).
Comparison to Industry (Information Technology)
Enphase Energy Inc., ROE, long-term trends, comparison to industry (information technology)
| Enphase Energy Inc. | Information Technology | |
|---|---|---|
| Dec 31, 2023 | 44.62% | 31.26% |
| Dec 31, 2022 | 48.13% | 38.03% |
| Dec 31, 2021 | 33.81% | 41.64% |
| Dec 31, 2020 | 27.69% | 35.38% |
| Dec 31, 2019 | 59.20% | 35.94% |
| Dec 31, 2018 | -149.52% | 30.23% |
| Dec 31, 2017 | — | 23.19% |
| Dec 31, 2016 | -5,189.38% | 23.00% |
| Dec 31, 2015 | -53.28% | 25.97% |
| Dec 31, 2014 | -17.15% | 25.43% |
| Dec 31, 2013 | -64.45% | 24.73% |
| Dec 31, 2012 | -67.46% | 26.09% |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31).