Heidrick & Struggles International (HSII)
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 | 8,728 | 38,559 | 38,717 | 52,856 | 54,410 | 55,599 | 61,438 | 76,605 | 79,486 | 75,919 | 79,591 | 76,207 | 72,572 | 65,633 | 14,957 | -31,541 | -37,707 | -32,690 | 3,435 | 43,448 |
| Total stockholders’ equity | US$ in thousands | 452,817 | 483,285 | 460,932 | 468,785 | 462,278 | 439,148 | 428,317 | 421,112 | 410,646 | 384,531 | 368,474 | 350,765 | 336,020 | 323,256 | 299,553 | 278,570 | 267,602 | 261,066 | 286,203 | 311,765 |
| ROE | 1.93% | 7.98% | 8.40% | 11.28% | 11.77% | 12.66% | 14.34% | 18.19% | 19.36% | 19.74% | 21.60% | 21.73% | 21.60% | 20.30% | 4.99% | -11.32% | -14.09% | -12.52% | 1.20% | 13.94% |
December 31, 2024 calculation
ROE = Net income (ttm) ÷ Total stockholders’ equity
= $8,728K ÷ $452,817K
= 1.93%
Heidrick & Struggles International's Return on Equity (ROE) has experienced fluctuations over the given periods. From March 31, 2020, to December 31, 2020, the ROE was negative, indicating the company's net income was insufficient to cover shareholders' equity. However, starting from March 31, 2021, the ROE turned positive and displayed an increasing trend until September 30, 2021, reaching a high of 20.30%. This improvement suggests the company was generating more profit relative to shareholders' equity.
From December 31, 2021, to September 30, 2022, the ROE remained relatively stable above 19%, indicating the company sustained its profitability. However, from December 31, 2022, to December 31, 2024, the ROE gradually decreased, signaling a decline in profitability relative to equity.
The ROE values for the last reported periods, ending on June 30, 2024, and December 31, 2024, were 8.40% and 1.93%, respectively, indicating a significant decrease in profitability compared to earlier periods. This downward trend could be a concern as it may suggest the company's ability to generate profits from shareholders' equity has weakened.
Overall, the analysis of Heidrick & Struggles International's ROE indicates a period of positive and increasing returns followed by a decline in profitability in recent periods. Investors and stakeholders may need to closely monitor the company's financial performance and management of equity to ensure sustained profitability and value creation.
Peer comparison
Dec 31, 2024