Concentrix Corporation (CNXC)

Return on equity (ROE)

		Nov 30, 2023	Nov 30, 2022	Nov 30, 2021
Net income	US$ in thousands	313,842	435,049	405,577
Total stockholders’ equity	US$ in thousands	4,143,290	2,695,900	2,620,260
ROE		7.57%	16.14%	15.48%

November 30, 2023 calculation

ROE = Net income ÷ Total stockholders’ equity
= $313,842K ÷ $4,143,290K
= 7.57%

Concentrix Corp.'s return on equity (ROE) has exhibited variation over the past five years. In 2019, the ROE stood at 7.97%, then experienced a slight decline in 2020 to 7.16%, before rising to 15.26% in 2021. However, the ROE saw a decrease in 2022 to 15.89% and further dropped to 7.43% in 2023.

The declining trend in ROE from 2022 to 2023 suggests a decrease in the company's ability to generate profits from shareholders' equity. This may indicate potential inefficiencies in the company's operations or a decrease in profitability relative to the equity invested.

It is important for Concentrix Corp. to investigate the factors contributing to the decrease in ROE and take necessary measures to improve its profitability and efficient utilization of equity. Analyzing the company's financial statements and operational performance can provide insights into the factors influencing the ROE and guide strategic decision-making to enhance shareholder value.