Harmony Biosciences Holdings (HRMY)

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
Net income (ttm) US$ in thousands 145,493 122,625 114,993 137,702 128,853 150,755 200,237 189,468 181,468 155,673 58,110 48,696 34,597 11,675 23,204
Total stockholders’ equity US$ in thousands 659,155 596,804 538,583 515,394 466,992 481,332 485,172 443,041 402,838 343,884 246,533 214,503 186,507 152,018 126,551
ROE 22.07% 20.55% 21.35% 26.72% 27.59% 31.32% 41.27% 42.77% 45.05% 45.27% 23.57% 22.70% 18.55% 7.68% 18.34%

December 31, 2024 calculation

ROE = Net income (ttm) ÷ Total stockholders’ equity
= $145,493K ÷ $659,155K
= 22.07%

Harmony Biosciences Holdings has shown fluctuating trends in its return on equity (ROE) over the past few years. The ROE increased from 18.34% in June 2021 to 23.57% in June 2022, showcasing a positive growth trajectory. Subsequently, there was a significant increase in ROE to 45.27% by September 2022 and it remained above 40% until March 2023, indicating strong profitability.

However, starting from June 2023, there was a gradual decline in ROE, dropping to 21.35% by June 2024. This downward trend continued, as seen in the ROE figures for September and December 2024, which were 20.55% and 22.07%, respectively.

While the ROE figures for December 2024 show a slight improvement compared to the preceding quarters, the overall trend suggests a decreasing trend in the company's profitability efficiency. It is important for stakeholders to monitor this trend closely and evaluate the factors influencing the company's ROE performance to ensure sustainable and consistent profitability in the future.