Return on Equity (ROE)
since 2005
Calculation
Kellanova, ROE, long-term trends, calculation
| ROE | = | 100 | × | Net income attributable to Kellanova1 | ÷ | Total Kellanova equity1 | |
|---|---|---|---|---|---|---|---|
| Dec 30, 2023 | 29.95% | = | 100 | × | 951) | ÷ | 3,175) |
| Dec 31, 2022 | 24.36% | = | 100 | × | 960) | ÷ | 3,941) |
| Dec 31, 2021 | 40.00% | = | 100 | × | 1,488) | ÷ | 3,720) |
| Jan 2, 2021 | 40.20% | = | 100 | × | 1,251) | ÷ | 3,112) |
| Dec 28, 2019 | 34.95% | = | 100 | × | 960) | ÷ | 2,747) |
| Dec 29, 2018 | 51.36% | = | 100 | × | 1,336) | ÷ | 2,601) |
| Dec 30, 2017 | 57.37% | = | 100 | × | 1,269) | ÷ | 2,212) |
| Dec 31, 2016 | 36.34% | = | 100 | × | 694) | ÷ | 1,910) |
| Dec 31, 2015 | 28.85% | = | 100 | × | 614) | ÷ | 2,128) |
| Dec 31, 2014 | 22.66% | = | 100 | × | 632) | ÷ | 2,789) |
| Dec 28, 2013 | 50.97% | = | 100 | × | 1,807) | ÷ | 3,545) |
| Dec 29, 2012 | 39.73% | = | 100 | × | 961) | ÷ | 2,419) |
| Dec 31, 2011 | 69.94% | = | 100 | × | 1,231) | ÷ | 1,760) |
| Dec 31, 2010 | 57.78% | = | 100 | × | 1,247) | ÷ | 2,158) |
| Dec 31, 2009 | 53.35% | = | 100 | × | 1,212) | ÷ | 2,272) |
| Dec 31, 2008 | 79.28% | = | 100 | × | 1,148) | ÷ | 1,448) |
| Dec 29, 2007 | 43.67% | = | 100 | × | 1,103) | ÷ | 2,526) |
| Dec 30, 2006 | 48.53% | = | 100 | × | 1,004) | ÷ | 2,069) |
| Dec 31, 2005 | 42.93% | = | 100 | × | 980) | ÷ | 2,284) |
Based on: 10-K (reporting date: 2023-12-30), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2021-01-02), 10-K (reporting date: 2019-12-28), 10-K (reporting date: 2018-12-29), 10-K (reporting date: 2017-12-30), 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: 2013-12-28), 10-K (reporting date: 2012-12-29), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-29), 10-K (reporting date: 2006-12-30), 10-K (reporting date: 2005-12-31).
1 US$ in millions
Return on equity has exhibited significant volatility from 2005 to 2023, characterized by periodic peaks and sharp contractions. While the ratio remained consistently positive, the magnitude of returns varied substantially, reflecting fluctuations in both net profitability and the composition of the equity base.
- Peak Performance and Leverage Influence
- The highest ROE levels were recorded in 2008 at 79.28% and 2011 at 69.94%. The 2008 peak is particularly notable as it occurred alongside a sharp decrease in total equity to 1.448 billion USD, while net income remained stable. This indicates that the spike in ROE was driven more by a reduction in the equity denominator—increasing financial leverage—than by an increase in operational profitability.
- Profitability Contractions
- A marked decline in ROE is observed between 2013 and 2015, reaching a period low of 22.66% in 2014. This trend directly correlates with a substantial drop in net income, which fell from a peak of 1.807 billion USD in 2013 to 632 million USD in 2014, illustrating a period of diminished earnings efficiency.
- Equity Expansion and Ratio Normalization
- Between 2016 and 2022, total equity trended generally upward, rising from 1.910 billion USD to a peak of 3.941 billion USD. This expansion of the equity base contributed to a general moderation of the ROE, moving the ratio away from the extreme highs seen in the previous decade and toward a more stable range between 24% and 40%.
- Recent Financial Trajectory
- In the most recent observed period from 2021 to 2023, ROE dipped to 24.36% in 2022 before recovering to 29.95% in 2023. The recovery in 2023 was facilitated by a reduction in total equity to 3.175 billion USD, which offset the fact that net income remained nearly flat at approximately 951 million USD compared to the prior year.
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Comparison to Competitors
Kellanova, ROE, long-term trends, comparison to competitors
| Kellanova | Coca-Cola Co. | Mondelēz International Inc. | PepsiCo Inc. | Philip Morris International Inc. | |
|---|---|---|---|---|---|
| Dec 30, 2023 | 29.95% | 41.30% | 17.50% | 49.04% | — |
| Dec 31, 2022 | 24.36% | 39.59% | 10.11% | 51.96% | — |
| Dec 31, 2021 | 40.00% | 42.48% | 15.21% | 47.48% | — |
| Jan 2, 2021 | 40.20% | 40.14% | 12.89% | 52.92% | — |
| Dec 28, 2019 | 34.95% | 46.99% | 14.19% | 49.47% | — |
| Dec 29, 2018 | 51.36% | 37.89% | 13.19% | 86.20% | — |
| Dec 30, 2017 | 57.37% | 7.31% | 11.19% | 44.60% | — |
| Dec 31, 2016 | 36.34% | 28.30% | 6.59% | 57.04% | — |
| Dec 31, 2015 | 28.85% | 28.77% | 25.94% | 45.73% | — |
| Dec 31, 2014 | 22.66% | 23.41% | 7.87% | 37.35% | — |
| Dec 28, 2013 | 50.97% | 25.88% | 12.09% | 27.76% | — |
| Dec 29, 2012 | 39.73% | 27.51% | 9.40% | 27.71% | — |
| Dec 31, 2011 | 69.94% | 27.10% | 10.02% | 31.29% | 3,751.53% |
| Dec 31, 2010 | 57.78% | 38.09% | 11.48% | 29.86% | 207.05% |
| Dec 31, 2009 | 53.35% | 27.52% | 11.67% | 35.38% | 110.95% |
| Dec 31, 2008 | 79.28% | 28.37% | 13.07% | 42.47% | 91.87% |
| Dec 29, 2007 | 43.67% | 27.51% | 9.49% | 32.83% | — |
| Dec 30, 2006 | 48.53% | 30.02% | 10.72% | 36.71% | — |
| Dec 31, 2005 | 42.93% | 29.79% | 8.89% | 28.62% | — |
Based on: 10-K (reporting date: 2023-12-30), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2021-01-02), 10-K (reporting date: 2019-12-28), 10-K (reporting date: 2018-12-29), 10-K (reporting date: 2017-12-30), 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: 2013-12-28), 10-K (reporting date: 2012-12-29), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-29), 10-K (reporting date: 2006-12-30), 10-K (reporting date: 2005-12-31).
Comparison to Sector (Food, Beverage & Tobacco)
Kellanova, ROE, long-term trends, comparison to sector (food, beverage & tobacco)
| Kellanova | Food, Beverage & Tobacco | |
|---|---|---|
| Dec 30, 2023 | 29.95% | 52.90% |
| Dec 31, 2022 | 24.36% | 51.06% |
| Dec 31, 2021 | 40.00% | 53.84% |
| Jan 2, 2021 | 40.20% | 55.44% |
| Dec 28, 2019 | 34.95% | 55.17% |
| Dec 29, 2018 | 51.36% | 67.69% |
| Dec 30, 2017 | 57.37% | 35.87% |
| Dec 31, 2016 | 36.34% | 46.07% |
| Dec 31, 2015 | 28.85% | 51.57% |
| Dec 31, 2014 | 22.66% | 37.04% |
| Dec 28, 2013 | 50.97% | 33.90% |
| Dec 29, 2012 | 39.73% | 32.24% |
| Dec 31, 2011 | 69.94% | 30.95% |
| Dec 31, 2010 | 57.78% | 32.24% |
| Dec 31, 2009 | 53.35% | 30.24% |
| Dec 31, 2008 | 79.28% | 33.30% |
| Dec 29, 2007 | 43.67% | 21.47% |
| Dec 30, 2006 | 48.53% | 22.65% |
| Dec 31, 2005 | 42.93% | 19.24% |
Based on: 10-K (reporting date: 2023-12-30), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2021-01-02), 10-K (reporting date: 2019-12-28), 10-K (reporting date: 2018-12-29), 10-K (reporting date: 2017-12-30), 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: 2013-12-28), 10-K (reporting date: 2012-12-29), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-29), 10-K (reporting date: 2006-12-30), 10-K (reporting date: 2005-12-31).
Comparison to Industry (Consumer Staples)
Kellanova, ROE, long-term trends, comparison to industry (consumer staples)
| Kellanova | Consumer Staples | |
|---|---|---|
| Dec 30, 2023 | 29.95% | 30.71% |
| Dec 31, 2022 | 24.36% | 32.10% |
| Dec 31, 2021 | 40.00% | 31.40% |
| Jan 2, 2021 | 40.20% | 30.98% |
| Dec 28, 2019 | 34.95% | 22.71% |
| Dec 29, 2018 | 51.36% | 28.05% |
| Dec 30, 2017 | 57.37% | 25.14% |
| Dec 31, 2016 | 36.34% | 25.00% |
| Dec 31, 2015 | 28.85% | 23.15% |
| Dec 31, 2014 | 22.66% | 23.21% |
| Dec 28, 2013 | 50.97% | 24.09% |
| Dec 29, 2012 | 39.73% | 23.55% |
| Dec 31, 2011 | 69.94% | 23.75% |
| Dec 31, 2010 | 57.78% | 24.19% |
| Dec 31, 2009 | 53.35% | 23.20% |
| Dec 31, 2008 | 79.28% | 22.49% |
| Dec 29, 2007 | 43.67% | 18.15% |
| Dec 30, 2006 | 48.53% | 18.58% |
| Dec 31, 2005 | 42.93% | 22.40% |
Based on: 10-K (reporting date: 2023-12-30), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2021-01-02), 10-K (reporting date: 2019-12-28), 10-K (reporting date: 2018-12-29), 10-K (reporting date: 2017-12-30), 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: 2013-12-28), 10-K (reporting date: 2012-12-29), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-29), 10-K (reporting date: 2006-12-30), 10-K (reporting date: 2005-12-31).