Return on Equity (ROE)
since 2005
Calculation
ONEOK Inc., ROE, long-term trends, calculation
| ROE | = | 100 | × | Net income1 | ÷ | Total ONEOK shareholders’ equity1 | |
|---|---|---|---|---|---|---|---|
| Dec 31, 2022 | 26.52% | = | 100 | × | 1,722,221) | ÷ | 6,493,885) |
| Dec 31, 2021 | 24.93% | = | 100 | × | 1,499,706) | ÷ | 6,015,163) |
| Dec 31, 2020 | 10.14% | = | 100 | × | 612,809) | ÷ | 6,042,398) |
| Dec 31, 2019 | 20.54% | = | 100 | × | 1,278,577) | ÷ | 6,225,951) |
| Dec 31, 2018 | 17.50% | = | 100 | × | 1,151,703) | ÷ | 6,579,543) |
| Dec 31, 2017 | 7.02% | = | 100 | × | 387,841) | ÷ | 5,527,867) |
| Dec 31, 2016 | 186.52% | = | 100 | × | 352,039) | ÷ | 188,745) |
| Dec 31, 2015 | 72.95% | = | 100 | × | 244,977) | ÷ | 335,798) |
| Dec 31, 2014 | 53.05% | = | 100 | × | 314,107) | ÷ | 592,115) |
| Dec 31, 2013 | 11.40% | = | 100 | × | 266,533) | ÷ | 2,337,851) |
| Dec 31, 2012 | 16.93% | = | 100 | × | 360,619) | ÷ | 2,129,609) |
| Dec 31, 2011 | 16.11% | = | 100 | × | 360,594) | ÷ | 2,238,573) |
| Dec 31, 2010 | 13.67% | = | 100 | × | 334,632) | ÷ | 2,448,623) |
| Dec 31, 2009 | 13.84% | = | 100 | × | 305,451) | ÷ | 2,207,194) |
| Dec 31, 2008 | 14.94% | = | 100 | × | 311,909) | ÷ | 2,088,170) |
| Dec 31, 2007 | 15.48% | = | 100 | × | 304,921) | ÷ | 1,969,308) |
| Dec 31, 2006 | 13.82% | = | 100 | × | 306,312) | ÷ | 2,215,958) |
| Dec 31, 2005 | 30.45% | = | 100 | × | 546,545) | ÷ | 1,794,757) |
Based on: 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), 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: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
1 US$ in thousands
The analysis of Return on Equity (ROE) from 2005 to 2022 reveals three distinct financial phases characterized by varying levels of capital structure stability and profitability.
- Stability Period (2005–2013)
- During this interval, ROE remained relatively consistent, generally oscillating between 11.40% and 16.93% after an initial high of 30.45% in 2005. Net income and shareholders' equity both exhibited low volatility, indicating a stable relationship between profit generation and the equity base.
- Capital Contraction and ROE Inflation (2014–2016)
- A period of extreme volatility occurred between 2014 and 2016, where ROE escalated rapidly from 53.05% to a peak of 186.52%. This trend was not driven by an increase in net income—which remained stable or slightly declined—but rather by a severe reduction in shareholders' equity, which fell from $2.34 billion in 2013 to $188.7 million in 2016. The resulting inflation of the ROE ratio indicates a highly leveraged capital structure during this specific window.
- Recapitalization and Growth Phase (2017–2022)
- A substantial increase in shareholders' equity to over $5.5 billion in 2017 led to a sharp correction in ROE, which dropped to 7.02%. Following this recapitalization, a positive trend emerged as net income grew significantly, rising from $387.8 million in 2017 to $1.72 billion by 2022. Consequently, ROE recovered and expanded, ending the period at 26.52%, despite a temporary contraction to 10.14% in 2020.
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Comparison to Competitors
ONEOK Inc., ROE, long-term trends, comparison to competitors
| ONEOK Inc. | Chevron Corp. | ConocoPhillips | ExxonMobil Holdings Corp. | |
|---|---|---|---|---|
| Dec 31, 2022 | 26.52% | 22.27% | 38.91% | 28.58% |
| Dec 31, 2021 | 24.93% | 11.24% | 17.79% | 13.67% |
| Dec 31, 2020 | 10.14% | -4.21% | -9.05% | -14.28% |
| Dec 31, 2019 | 20.54% | 2.03% | 20.55% | 7.48% |
| Dec 31, 2018 | 17.50% | 9.59% | 19.59% | 10.87% |
| Dec 31, 2017 | 7.02% | 6.21% | -2.79% | 10.50% |
| Dec 31, 2016 | 186.52% | -0.34% | -10.34% | 4.69% |
| Dec 31, 2015 | 72.95% | 3.00% | -11.14% | 9.45% |
| Dec 31, 2014 | 53.05% | 12.41% | 13.23% | 18.65% |
| Dec 31, 2013 | 11.40% | 14.37% | 17.58% | 18.72% |
| Dec 31, 2012 | 16.93% | 19.18% | 17.56% | 27.06% |
| Dec 31, 2011 | 16.11% | 22.16% | 19.07% | 26.59% |
| Dec 31, 2010 | 13.67% | 18.10% | 16.57% | 20.74% |
| Dec 31, 2009 | 13.84% | 11.41% | 7.78% | 17.44% |
| Dec 31, 2008 | 14.94% | 27.62% | -30.81% | 40.03% |
| Dec 31, 2007 | 15.48% | 24.24% | 13.36% | 33.35% |
| Dec 31, 2006 | 13.82% | 24.86% | 18.82% | 34.70% |
| Dec 31, 2005 | 30.45% | 22.50% | 25.66% | 32.50% |
Based on: 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), 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: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
Comparison to Sector (Oil, Gas & Consumable Fuels)
ONEOK Inc., ROE, long-term trends, comparison to sector (oil, gas & consumable fuels)
| ONEOK Inc. | Oil, Gas & Consumable Fuels | |
|---|---|---|
| Dec 31, 2022 | 26.52% | 27.31% |
| Dec 31, 2021 | 24.93% | 13.24% |
| Dec 31, 2020 | 10.14% | -9.63% |
| Dec 31, 2019 | 20.54% | 6.59% |
| Dec 31, 2018 | 17.50% | 11.08% |
| Dec 31, 2017 | 7.02% | 7.66% |
| Dec 31, 2016 | 186.52% | 1.07% |
| Dec 31, 2015 | 72.95% | 4.49% |
| Dec 31, 2014 | 53.05% | 15.37% |
| Dec 31, 2013 | 11.40% | 16.83% |
| Dec 31, 2012 | 16.93% | 22.69% |
| Dec 31, 2011 | 16.11% | 23.57% |
| Dec 31, 2010 | 13.67% | 18.98% |
| Dec 31, 2009 | 13.84% | 13.07% |
| Dec 31, 2008 | 14.94% | 20.47% |
| Dec 31, 2007 | 15.48% | 24.73% |
| Dec 31, 2006 | 13.82% | 27.20% |
| Dec 31, 2005 | 30.45% | 28.14% |
Based on: 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), 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: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
Comparison to Industry (Energy)
ONEOK Inc., ROE, long-term trends, comparison to industry (energy)
| ONEOK Inc. | Energy | |
|---|---|---|
| Dec 31, 2022 | 26.52% | 26.98% |
| Dec 31, 2021 | 24.93% | 13.21% |
| Dec 31, 2020 | 10.14% | -12.46% |
| Dec 31, 2019 | 20.54% | 3.63% |
| Dec 31, 2018 | 17.50% | 10.63% |
| Dec 31, 2017 | 7.02% | 6.58% |
| Dec 31, 2016 | 186.52% | 0.52% |
| Dec 31, 2015 | 72.95% | 4.61% |
| Dec 31, 2014 | 53.05% | 15.28% |
| Dec 31, 2013 | 11.40% | 16.85% |
| Dec 31, 2012 | 16.93% | 22.06% |
| Dec 31, 2011 | 16.11% | 22.94% |
| Dec 31, 2010 | 13.67% | 18.51% |
| Dec 31, 2009 | 13.84% | 13.29% |
| Dec 31, 2008 | 14.94% | 21.20% |
| Dec 31, 2007 | 15.48% | 25.23% |
| Dec 31, 2006 | 13.82% | 27.51% |
| Dec 31, 2005 | 30.45% | 28.17% |
Based on: 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), 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: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).