Danaher Corporation (DHR)

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	4,764,000	5,917,000	6,360,000	6,934,000	7,209,000	6,765,000	6,351,000	6,456,000	6,433,000	5,886,000	5,611,000	4,753,000	3,646,000	3,679,900	3,464,900	3,269,200	3,008,000	2,479,900	2,475,600	2,418,100
Total stockholders’ equity	US$ in thousands	53,486,000	52,407,000	51,716,000	51,478,000	50,082,000	46,985,000	46,594,000	46,356,000	45,167,000	43,451,000	42,756,000	40,419,000	39,766,000	37,961,000	36,261,700	31,055,100	30,271,000	32,502,300	32,201,200	31,556,600
ROE		8.91%	11.29%	12.30%	13.47%	14.39%	14.40%	13.63%	13.93%	14.24%	13.55%	13.12%	11.76%	9.17%	9.69%	9.56%	10.53%	9.94%	7.63%	7.69%	7.66%

December 31, 2023 calculation

ROE = Net income (ttm) ÷ Total stockholders’ equity
= $4,764,000K ÷ $53,486,000K
= 8.91%

The return on equity (ROE) of Danaher Corp. has shown a gradual decline over the past eight quarters, dropping from 14.18% in Q4 2022 to 8.87% in Q4 2023. This downward trend suggests that the company's ability to generate profits from the shareholders' equity has weakened over time.

Despite the decreasing trend, Danaher Corp. still maintained ROE above 10% for the majority of the periods, indicating a relatively healthy level of profitability and efficiency in utilizing shareholders' investments. However, the recent decrease in ROE raises concerns about the company's operational efficiency and its ability to maximize returns for shareholders.

It is important for stakeholders to closely monitor Danaher Corp.'s ROE performance and assess the factors contributing to the decline in order to identify potential areas for improvement and strategic decision-making.