Griffon Corporation (GFF)
Return on equity (ROE)
| Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 209,897 | 77,617 | -191,558 | 79,211 | 53,429 |
| Total stockholders’ equity | US$ in thousands | 224,888 | 315,244 | 477,570 | 807,158 | 700,151 |
| ROE | 93.33% | 24.62% | -40.11% | 9.81% | 7.63% |
September 30, 2024 calculation
ROE = Net income ÷ Total stockholders’ equity
= $209,897K ÷ $224,888K
= 93.33%
Griffon Corporation's return on equity (ROE) has shown a significant improvement over the years.
In 2024, the ROE stood at an impressive 93.33%, reflecting a substantial increase from the previous year's 24.62%. This substantial growth indicates that the company has efficiently utilized its equity to generate profit for its shareholders.
Looking back to 2022, Griffon Corporation posted a negative ROE of -40.11%, indicating that the company was not effectively utilizing its equity to generate profits. However, the company managed to turn things around in the subsequent years, with ROE increasing to 9.81% in 2021 and further to 7.63% in 2020.
Overall, Griffon Corporation's ROE trend showcases a positive trajectory, with a sharp increase in 2024 demonstrating the company's improved profitability and shareholder value creation efforts. It is essential for investors and stakeholders to monitor this trend to assess the company's financial health and performance.