HNI Corp (HNI)
Return on equity (ROE)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 139,500 | 49,200 | 123,900 | 59,800 | 41,900 |
| Total stockholders’ equity | US$ in thousands | 840,100 | 761,400 | 616,500 | 589,600 | 590,419 |
| ROE | 16.61% | 6.46% | 20.10% | 10.14% | 7.10% |
December 31, 2024 calculation
ROE = Net income ÷ Total stockholders’ equity
= $139,500K ÷ $840,100K
= 16.61%
Based on the provided data, HNI Corp's return on equity (ROE) has shown fluctuations over the years:
- In December 31, 2020, the ROE was 7.10%, indicating that for every dollar of shareholders' equity, the company generated a return of 7.10%.
- By December 31, 2021, the ROE increased to 10.14%, showing an improvement in the company's efficiency in utilizing shareholder equity to generate profits.
- There was a significant jump in ROE by December 31, 2022, reaching 20.10%, which suggests a substantial increase in profitability and efficiency in generating returns for shareholders.
- However, the ROE dropped to 6.46% by December 31, 2023, indicating a decline in the company's profitability and efficiency compared to the previous year.
- In the most recent year, December 31, 2024, the ROE bounced back to 16.61%, showing a recovery in profitability and efficiency in utilizing shareholders' equity.
Overall, HNI Corp's ROE has shown volatility over the years, with periods of improvement and decline. It is essential for investors and stakeholders to closely monitor these variations to assess the company's performance and its ability to generate returns for shareholders.