Enerpac Tool Group Corp (EPAC)
Return on equity (ROE)
| Aug 31, 2023 | Aug 31, 2022 | Aug 31, 2021 | Aug 31, 2020 | Aug 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 46,561 | 15,686 | 38,077 | 723 | -249,145 |
| Total stockholders’ equity | US$ in thousands | 326,620 | 318,611 | 412,198 | 359,226 | 301,179 |
| ROE | 14.26% | 4.92% | 9.24% | 0.20% | -82.72% |
August 31, 2023 calculation
ROE = Net income ÷ Total stockholders’ equity
= $46,561K ÷ $326,620K
= 14.26%
The return on equity (ROE) for Enerpac Tool Group Corp has exhibited fluctuations over the past five years. In 2019, the company reported a negative ROE of -82.72%, reflecting a substantial loss relative to shareholder equity. However, the following years witnessed a notable improvement in performance, with ROE rising to 0.20% in 2020, 9.24% in 2021, and 4.92% in 2022. The most recent data for August 31, 2023, displays a ROE of 14.26%, demonstrating a further increase in the company's ability to generate profits from shareholders' equity.
The upward trend in ROE from 2020 to 2023 suggests an improvement in the company's efficiency in utilizing equity to generate profits. This increase may be indicative of enhanced operational performance, cost management, or strategic initiatives that have positively impacted the company's bottom line. However, it is essential to assess the underlying factors driving this improvement to ascertain the sustainability of this trend. Furthermore, while the recent ROE of 14.26% is a positive indication, ongoing monitoring and analysis of Enerpac Tool Group Corp's financial performance will be necessary to discern the long-term trajectory of its return on equity.
Peer comparison
Aug 31, 2023