Hayward Holdings Inc (HAYW)
Return on equity (ROE)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | ||
|---|---|---|---|---|
| Net income | US$ in thousands | 80,687 | 179,347 | 203,725 |
| Total stockholders’ equity | US$ in thousands | 1,311,460 | 1,223,030 | 1,369,510 |
| ROE | 6.15% | 14.66% | 14.88% |
December 31, 2023 calculation
ROE = Net income ÷ Total stockholders’ equity
= $80,687K ÷ $1,311,460K
= 6.15%
Hayward Holdings Inc experienced fluctuations in its return on equity (ROE) over the past three years. In 2021, the company reported an ROE of 8.63%, which increased to 14.66% in 2022 before decreasing to 6.15% in 2023. The decreasing trend from 2022 to 2023 indicates that the company's ability to generate profit relative to shareholders' equity declined significantly.
The decline in ROE from 2022 to 2023 could be attributed to various factors such as an increase in expenses, a decrease in revenue, or inefficient utilization of assets. It is essential for management to investigate the root causes behind this decline to address any underlying issues affecting the company's profitability and efficiency.
Overall, the fluctuating ROE of Hayward Holdings Inc suggests varying levels of profitability and efficiency over the years, highlighting the importance of closely monitoring financial performance indicators to ensure sustainable growth and value creation for shareholders.
Peer comparison
Dec 31, 2023