🏁 Return on Equity Calculator
Measure profitability relative to equity
How to Use This Calculator
1
Enter NI and Equity
Use consistent period values; averages improve accuracy.
2
Calculate
Result in percent indicates return to equity holders.
Formula
ROE = Net Income ÷ Shareholders' Equity × 100
Frequently Asked Questions
Use average equity?
Yes, average equity across the period is preferred.
Relation to DuPont?
ROE can be decomposed into Profit Margin × Asset Turnover × Equity Multiplier.