Blackbaud Inc (BLKB)
Return on equity (ROE)
Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
---|---|---|---|---|---|---|
Net income | US$ in thousands | -286,951 | 1,820 | -45,407 | 5,698 | 7,717 |
Total stockholders’ equity | US$ in thousands | 141,993 | 808,705 | 744,032 | 717,060 | 426,150 |
ROE | -202.09% | 0.23% | -6.10% | 0.79% | 1.81% |
December 31, 2024 calculation
ROE = Net income ÷ Total stockholders’ equity
= $-286,951K ÷ $141,993K
= -202.09%
Based on the provided data, Blackbaud Inc's return on equity (ROE) has shown significant fluctuations over the years.
In December 2020, the ROE was 1.81%, indicating that the company generated $1.81 in net income for every $100 of shareholders' equity.
By December 2021, the ROE decreased to 0.79%, suggesting a decline in profitability and efficiency in generating returns for shareholders.
A notable decline was observed in December 2022, with an ROE of -6.10%. A negative ROE implies that the company incurred a net loss for the period, leading to a decrease in shareholders' equity.
Although there was a slight improvement in December 2023 with an ROE of 0.23%, the company still struggled to deliver significant returns to its shareholders.
The most concerning year was December 2024, where the ROE plummeted to -202.09%. Such a drastic negative ROE indicates that the company experienced substantial losses, which significantly impacted shareholders' equity.
Overall, Blackbaud Inc's ROE has been volatile and indicates inconsistent profitability and efficiency in utilizing shareholders' investments to generate returns. The company may need to implement strategic changes to improve its financial performance and enhance shareholder value.
Peer comparison
Dec 31, 2024