Hexcel Corporation (HXL)

Return on equity (ROE)

		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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Net income (ttm)	US$ in thousands	105,700	160,900	149,000	151,200	126,300	108,200	90,400	47,900	16,100	-22,200	-21,500	-24,700	31,700	124,300	194,900	276,800	306,600	299,500	299,300	287,200
Total stockholders’ equity	US$ in thousands	1,716,500	1,646,300	1,666,100	1,622,200	1,554,200	1,445,000	1,480,300	1,487,100	1,485,500	1,494,300	1,502,800	1,486,900	1,510,200	1,499,400	1,436,900	1,421,100	1,446,100	1,417,800	1,442,400	1,372,400
ROE		6.16%	9.77%	8.94%	9.32%	8.13%	7.49%	6.11%	3.22%	1.08%	-1.49%	-1.43%	-1.66%	2.10%	8.29%	13.56%	19.48%	21.20%	21.12%	20.75%	20.93%

December 31, 2023 calculation

ROE = Net income (ttm) ÷ Total stockholders’ equity
= $105,700K ÷ $1,716,500K
= 6.16%

To analyze Hexcel Corp.'s return on equity (ROE) performance based on the provided data:

1. Hexcel Corp.'s ROE fluctuated over the last eight quarters, ranging from a low of 3.22% in Q1 2022 to a high of 9.77% in Q3 2023.

2. The overall trend indicates a general upward trajectory in ROE, with gradual improvements seen since Q1 2022.

3. The company's ROE exceeded 6% in every quarter, reflecting a consistent ability to generate profits relative to its shareholder equity.

4. The ROE peaked at 9.77% in Q3 2023, suggesting efficient utilization of equity to generate returns for shareholders.

5. The lowest ROE of 3.22% in Q1 2022 may raise concerns about the company's profitability and efficiency in that particular quarter.

6. Investors and stakeholders should continue to monitor Hexcel Corp.'s ROE trends to assess the company's profitability, financial health, and effectiveness in generating returns for its equity holders.