Appfolio Inc (APPF)

Return on equity (ROE)

		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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019
Net income (ttm)	US$ in thousands	76,475	2,702	-47,266	-77,873	-88,942	-68,119	-49,750	-45,729	-13,738	1,028	1,846	139,663	156,899	158,403	163,344	30,646	34,540	36,282	34,503	35,049
Total stockholders’ equity	US$ in thousands	339,195	297,312	262,656	225,953	240,569	265,546	271,872	264,991	288,743	297,381	291,699	287,267	285,784	285,920	284,516	144,504	124,875	131,950	125,417	118,215
ROE		22.55%	0.91%	-18.00%	-34.46%	-36.97%	-25.65%	-18.30%	-17.26%	-4.76%	0.35%	0.63%	48.62%	54.90%	55.40%	57.41%	21.21%	27.66%	27.50%	27.51%	29.65%

March 31, 2024 calculation

ROE = Net income (ttm) ÷ Total stockholders’ equity
= $76,475K ÷ $339,195K
= 22.55%

Appfolio Inc's return on equity (ROE) has fluctuated significantly over the past few quarters. The ROE was negative in some quarters, indicating that the company was not generating a positive return for its shareholders during those periods.

The ROE improved in the most recent quarter, reaching 22.55%, a significant increase from the previous quarter's 0.91%. This suggests that the company's profitability and efficiency in generating returns for shareholders improved during the period.

Looking at the trend over the past two years, the ROE has shown some volatility, with periods of both positive and negative returns. It is important for investors to monitor this metric closely to assess the company's ability to generate profits from shareholders' equity.

Overall, the recent improvement in ROE is a positive sign for Appfolio Inc, but investors should continue to closely monitor the company's financial performance to ensure sustained profitability and value creation.