Cinemark Holdings Inc (CNK)
Return on equity (ROE)
| 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 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | 188,200 | -649,300 | -534,600 | -342,100 | -271,200 | 177,600 | 75,300 | -140,500 | -422,800 | -667,756 | -737,548 | -765,537 | -616,828 | -351,238 | -172,293 | 99,067 | 191,386 | 184,495 | 203,370 | 184,534 |
| Total stockholders’ equity | US$ in thousands | 286,600 | 292,300 | -474,900 | -479,200 | -485,200 | 194,800 | 208,000 | 286,300 | 322,900 | 304,136 | 387,158 | 513,589 | 787,973 | 1,007,030 | 1,086,920 | 1,253,280 | 1,435,810 | 1,483,700 | 1,515,280 | 1,451,940 |
| ROE | 65.67% | -222.13% | — | — | — | 91.17% | 36.20% | -49.07% | -130.94% | -219.56% | -190.50% | -149.06% | -78.28% | -34.88% | -15.85% | 7.90% | 13.33% | 12.43% | 13.42% | 12.71% |
December 31, 2023 calculation
ROE = Net income (ttm) ÷ Total stockholders’ equity
= $188,200K ÷ $286,600K
= 65.67%
Cinemark Holdings Inc's return on equity (ROE) fluctuated significantly over the past eight quarters. In Q4 2023, the ROE stood at an impressive 59.68%, showcasing the company's ability to generate profit relative to shareholders' equity. This is a considerable improvement from the previous quarter's ROE of 34.55%. However, in contrast, the company experienced a sharp decline in Q1 2023, where the ROE plummeted to -165.85%, indicating that the company operated at a loss in that period.
The negative ROEs in Q1 2023, Q4 2022, Q3 2022, Q2 2022, and Q1 2022 raise concerns about the company's financial performance during those quarters. These negative values suggest that Cinemark Holdings Inc had incurred losses or had inadequate profitability relative to shareholders' equity in those periods. It's worth noting that the negative ROEs indicate inefficiencies in capital utilization or potential financial distress.
Overall, the significant fluctuations in Cinemark Holdings Inc's ROE over the past eight quarters indicate volatility in the company's profitability and financial performance. Investors and stakeholders should closely monitor these fluctuations and assess the underlying reasons for the fluctuating ROE to make informed decisions about the company's financial health and future prospects.