Allegion PLC (ALLE)
Return on equity (ROE)
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | 597,500 | 572,000 | 554,100 | 540,700 | 540,400 | 557,100 | 515,400 | 488,500 | 458,000 | 435,500 | 464,400 | 468,000 | 483,000 | 463,500 | 466,900 | 421,900 | 314,300 | 301,700 | 286,400 | 322,000 |
| Total stockholders’ equity | US$ in thousands | 1,500,700 | 1,571,000 | 1,425,300 | 1,350,900 | 1,318,300 | 1,232,100 | 1,140,500 | 1,041,700 | 944,500 | 793,600 | 776,900 | 741,600 | 762,400 | 864,200 | 784,000 | 727,700 | 829,400 | 824,300 | 677,500 | 611,300 |
| ROE | 39.81% | 36.41% | 38.88% | 40.03% | 40.99% | 45.22% | 45.19% | 46.89% | 48.49% | 54.88% | 59.78% | 63.11% | 63.35% | 53.63% | 59.55% | 57.98% | 37.89% | 36.60% | 42.27% | 52.67% |
December 31, 2024 calculation
ROE = Net income (ttm) ÷ Total stockholders’ equity
= $597,500K ÷ $1,500,700K
= 39.81%
Allegion PLC's return on equity (ROE) has shown some fluctuations over the past few years based on the provided data. The ROE was at a relatively high level of 52.67% as of March 31, 2020, and has since demonstrated a varying trend. The ROE peaked at 63.35% by December 31, 2021, indicating strong profitability and efficient use of shareholder equity during that period. However, the ROE began to decline gradually from that point onwards, reaching 39.81% by December 31, 2024.
Overall, Allegion PLC's ROE performance reflects a generally positive trend with periods of high profitability and efficient use of equity capital. However, the recent downward trend in ROE may suggest potential challenges in sustaining or improving profitability levels in the future. It would be advisable for the company to closely monitor and analyze the factors influencing its ROE to ensure long-term financial sustainability and investor confidence.