return on equity Meaning in the Cambridge English Dictionary
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Meaning of “return on equity” in the English Dictionary

"return on equity" in Business English

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return on equitynoun [U]

uk   us   ( abbreviation ROE)
FINANCE, ACCOUNTING a company's ​profit for a particular ​period compared with the ​amount of sharecapital (= ​moneyinvested by ​shareholders) in it. This ​shows how ​effectively the ​company is using its ​sharecapital to make a ​profit: One way to ​increasereturn on ​equity is to ​cut the ​amount of ​capitalsupporting the ​business.
(Definition of return on equity from the Cambridge Business English Dictionary © Cambridge University Press)
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