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Columbia Banking System (Columbia Banking System) ROE % : 12.73% (As of Dec. 2022)


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What is Columbia Banking System ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Columbia Banking System's annualized net income for the quarter that ended in Dec. 2022 was $275.6 Mil. Columbia Banking System's average Total Stockholders Equity over the quarter that ended in Dec. 2022 was $2,164.3 Mil. Therefore, Columbia Banking System's annualized ROE % for the quarter that ended in Dec. 2022 was 12.73%.

The historical rank and industry rank for Columbia Banking System's ROE % or its related term are showing as below:

COLB' s ROE % Range Over the Past 10 Years
Min: 6.61   Med: 8.11   Max: 10.86
Current: 10.86

During the past 13 years, Columbia Banking System's highest ROE % was 10.86%. The lowest was 6.61%. And the median was 8.11%.

COLB's ROE % is not ranked
in the Banks industry.
Industry Median: 9.88 vs COLB: 10.86

Columbia Banking System ROE % Historical Data

The historical data trend for Columbia Banking System's ROE % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Columbia Banking System ROE % Chart

Columbia Banking System Annual Data
Trend Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 8.68 9.27 6.84 8.22 10.42

Columbia Banking System Quarterly Data
Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22
ROE % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 6.99 9.30 10.22 11.92 12.73

Competitive Comparison of Columbia Banking System's ROE %

For the Banks - Regional subindustry, Columbia Banking System's ROE %, along with its competitors' market caps and ROE % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Columbia Banking System's ROE % Distribution in the Banks Industry

For the Banks industry and Financial Services sector, Columbia Banking System's ROE % distribution charts can be found below:

* The bar in red indicates where Columbia Banking System's ROE % falls into.



Columbia Banking System ROE % Calculation

Columbia Banking System's annualized ROE % for the fiscal year that ended in Dec. 2022 is calculated as

ROE %=Net Income (A: Dec. 2022 )/( (Total Stockholders Equity (A: Dec. 2021 )+Total Stockholders Equity (A: Dec. 2022 ))/ count )
=250.178/( (2588.742+2213.153)/ 2 )
=250.178/2400.9475
=10.42 %

Columbia Banking System's annualized ROE % for the quarter that ended in Dec. 2022 is calculated as

ROE %=Net Income (Q: Dec. 2022 )/( (Total Stockholders Equity (Q: Sep. 2022 )+Total Stockholders Equity (Q: Dec. 2022 ))/ count )
=275.624/( (2115.481+2213.153)/ 2 )
=275.624/2164.317
=12.73 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

In the calculation of annual ROE %, the net income of the last fiscal year and the average total shareholder equity over the fiscal year are used. In calculating the quarterly data, the net income data used here is four times the quarterly (Dec. 2022) net income data. ROE % is displayed in the 30-year financial page.


Columbia Banking System  (NAS:COLB) ROE % Explanation

ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.

The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:

ROE %(Q: Dec. 2022 )
=Net Income/Total Stockholders Equity
=275.624/2164.317
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(275.624 / 760.096)*(760.096 / 20335.606)*(20335.606 / 2164.317)
=Net Margin %*Asset Turnover*Equity Multiplier
=36.26 %*0.0374*9.3959
=ROA %*Equity Multiplier
=1.36 %*9.3959
=12.73 %

With this breakdown, it is clear that if a company grows its Net Profit Margin, its Asset Turnover, or its Leverage, it can grow its ROE %.

The factors that affect a company's ROE % can also be illustrated with the five-step DuPont Analysis:

ROE %(Q: Dec. 2022 )
=Net Income/Total Stockholders Equity
=275.624/2164.317
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (275.624 / 348.476) * (348.476 / 760.096) * (760.096 / 20335.606) * (20335.606 / 2164.317)
= Tax Burden * Pretax Margin % * Asset Turnover * Equity Multiplier
= 0.7909 * 45.85 % * 0.0374 * 9.3959
=12.73 %

Note: The net income data used here is four times the quarterly (Dec. 2022) net income data. The Revenue data used here is four times the quarterly (Dec. 2022) revenue data. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Be Aware

Net Income is used.

Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.

Asset light businesses require very few assets to generate very high earnings. Their ROE %s can be extremely high.


Columbia Banking System ROE % Related Terms

Thank you for viewing the detailed overview of Columbia Banking System's ROE % provided by GuruFocus.com. Please click on the following links to see related term pages.


Columbia Banking System (Columbia Banking System) Business Description

Traded in Other Exchanges
N/A
Address
1301 A Street, Tacoma, WA, USA, 98402-2156
Columbia Banking System Inc is a registered bank holding company. The company operates through its wholly-owned banking subsidiary, Columbia State Bank. The company provides a full range of banking services to small and midsize businesses, professionals, and individuals throughout Washington, Oregon, and Idaho. The bank has historically grown through a combination of organic growth and acquisitions. The bank's strategy s to provide our customers with the financial sophistication and product depth of a regional banking company. Its loan portfolio is diversified but primarily concentrated in commercial real estate and commercial business loans. A majority of the bank's net revenue is net interest income.
Executives
Drew K Anderson officer: Chief Administrative Officer C/O COLUMBIA BANKING SYSTEM, INC., 5885 MEADOWS ROAD, SUITE #400, LAKE OSWEGO OR 97035
Luis Machuca director ITXC CORP, 14600 NW GREENBRIER PARKWAY, BEAVERTON OR 97006
Maria M Pope director C/O PORTLAND GENERAL ELECTRIC CO., 121 SW SALMON ST, PORTLAND OR 97204
Peggy Y Fowler director C/O PORTLAND GENERAL ELECTRIC CO, 121 SW SALMON ST, PORTLAND OR 97204
Terry Hilliard C. Iii director ONE SW COLUMBIA ST STE 1200, PORTLAND OR 97258
John F Schultz director C/O HEWLETT-PACKARD COMPANY, 3000 HANOVER STREET, PALO ALTO CA 94304
Anddria Varnado director ONE SW COLUMBIA STREET STE 1200, PORTLAND OR 97258
Torran B Nixon officer: Senior Executive VP ONE SW COLUMBIA STREET STE 1200, PORTLAND OR 97258
Ron L Farnsworth officer: Chief Financial Officer 200 SW MARKET ST STE 1900, PORTLAND OR 97201
Andrew H Ognall officer: IMO General Counsel ONE SW COLUMBIA ST STE 1200, PORTLAND OR 97258
Frank Namdar officer: Chief Credit Officer ONE SW COLUMBIA STREET STE 1200, PORTLAND OR 97258
Lisa M White officer: PAO & Corporate Controller 9285 NE TANASBOURNE DRIVE, HILLSBORO OR 97124
O'haver Cort L director, officer: Executive Chairman ONE SW COLUMBIA ST STE 1200, PORTLAND OR 97258
Sheri Burns officer: Chief Human Resources Officer C/O COLUMBIA BANKING SYSTEM, INC., 450 NW 114TH AVENUE, PORTLAND OR 97229
Aaron James Deer officer: EVP Chief Financial Officer 1301 A STREET, TACOMA WA 98402