Columbia Sportswear Company (COLM)

Return on equity (ROE)

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Net income US$ in thousands 223,273 251,400 311,440 354,108 108,013
Total stockholders’ equity US$ in thousands 1,780,040 1,938,610 1,935,790 1,989,250 1,832,770
ROE 12.54% 12.97% 16.09% 17.80% 5.89%

December 31, 2024 calculation

ROE = Net income ÷ Total stockholders’ equity
= $223,273K ÷ $1,780,040K
= 12.54%

Columbia Sportswear Company's return on equity (ROE) has displayed fluctuations over the past five years. The ROE stood at 5.89% on December 31, 2020, indicating a relatively low return generated on shareholders' equity. However, the company experienced a significant improvement in performance, as the ROE increased to 17.80% by December 31, 2021, showcasing a substantial growth in profitability.

In the following years, the ROE remained relatively stable, with values of 16.09% on December 31, 2022, 12.97% on December 31, 2023, and 12.54% on December 31, 2024. Although there was a slight decrease in ROE towards the end of the period, the company continued to generate decent returns on equity, indicating effective management of assets and a healthy financial position.

Overall, the trend in Columbia Sportswear Company's ROE reflects both positive and stable performance levels, with a notable improvement in profitability in recent years. Investors and stakeholders may view these metrics positively, as they suggest the company's ability to generate solid returns from shareholders' equity.