Edgewell Personal Care Co (EPC)
Return on equity (ROE)
| Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | Sep 30, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 114,700 | 99,500 | 117,800 | 67,600 | -372,200 |
| Total stockholders’ equity | US$ in thousands | 1,540,500 | 1,467,100 | 1,590,800 | 1,438,600 | 1,303,500 |
| ROE | 7.45% | 6.78% | 7.41% | 4.70% | -28.55% |
September 30, 2023 calculation
ROE = Net income ÷ Total stockholders’ equity
= $114,700K ÷ $1,540,500K
= 7.45%
The return on equity (ROE) for Edgewell Personal Care Co has shown variability over the past five years. In the most recent period ending in September 2023, the ROE stood at 7.45%, exhibiting a slight increase from the previous year's 6.75%. This indicates that the company generated a return of 7.45% on each dollar of common equity during the period.
Comparing the 2023 ROE with the 2022 figure, it can be inferred that the company's management has been able to deploy the shareholders' equity more efficiently to generate higher returns. This suggests an improvement in the company's profitability and effective utilization of its equity base.
Looking further back, the ROE for 2021 was 7.38%, showing a relatively stable performance in generating returns on equity. The 2020 ROE of 4.72% marked a modest increase compared to the 2019 figure, which stood at a negative 28.55%, reflecting a significant turnaround in the company's ability to generate profits relative to its equity base.
Overall, while the ROE has experienced fluctuations in recent years, the most recent data indicates a positive trajectory, suggesting potential improvement in the company's ability to generate returns on the shareholders' equity. However, a more comprehensive assessment of the company's financial performance alongside other relevant financial metrics would be necessary to gain a deeper understanding of its overall profitability and financial health.
Peer comparison
Sep 30, 2023