Fulgent Genetics Inc (FLGT)

Return on equity (ROE)

Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 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
Net income (ttm) US$ in thousands -42,708 -164,969 -163,428 -165,947 -168,334 -64,261 -49,811 -27,045 142,783 271,198 392,377 460,652 507,364 569,332 493,448 416,957 214,310 47,707 2,531 -459
Total stockholders’ equity US$ in thousands 1,133,230 1,138,440 1,132,550 1,129,940 1,136,100 1,258,700 1,259,760 1,268,920 1,269,880 1,281,400 1,304,760 1,312,960 1,165,880 1,036,780 920,725 801,566 569,387 186,955 87,043 81,372
ROE -3.77% -14.49% -14.43% -14.69% -14.82% -5.11% -3.95% -2.13% 11.24% 21.16% 30.07% 35.08% 43.52% 54.91% 53.59% 52.02% 37.64% 25.52% 2.91% -0.56%

December 31, 2024 calculation

ROE = Net income (ttm) ÷ Total stockholders’ equity
= $-42,708K ÷ $1,133,230K
= -3.77%

Fulgent Genetics Inc's return on equity (ROE) varied significantly over the period from March 31, 2020, to December 31, 2024. The ROE started at a negative value of -0.56% in March 2020, indicating that the company had a net loss relative to shareholders' equity.

The ROE improved steadily over the next few quarters, reaching positive territory in June 2020 at 2.91%. Subsequently, the ROE showed a remarkable increase, more than doubling by September 2020 to reach 25.52%. The trend continued to improve through December 2020 and March 2021, where ROE exceeded 50%, peaking at 54.91% in September 2021.

However, from December 2021 onwards, the ROE started to decline, dropping to 11.24% by December 2022 and turning negative in the following quarters. The ROE remained negative from March 2023 to December 2024, with the lowest value recorded at -14.82% in December 2023. There was a slight improvement in the ROE by December 2024, with the value standing at -3.77%.

Overall, Fulgent Genetics Inc's ROE exhibited a volatile pattern, experiencing significant fluctuations over the analyzed period. The company initially showed strong profitability and efficiency in utilizing shareholder equity, but the performance deteriorated in later periods, indicating challenges in generating returns for shareholders during those periods.