Inter Parfums Inc (IPAR)
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 | 164,358 | 150,550 | 141,505 | 139,634 | 152,654 | 158,833 | 147,042 | 139,707 | 120,938 | 103,115 | 100,008 | 95,048 | 87,411 | 103,374 | 81,596 | 55,821 | 38,218 | 31,669 | 35,979 | 51,415 |
Total stockholders’ equity | US$ in thousands | 744,871 | 778,476 | 717,077 | 708,103 | 699,393 | 690,309 | 668,201 | 658,406 | 616,782 | 574,696 | 569,814 | 584,559 | 571,920 | 585,659 | 561,319 | 540,112 | 535,835 | 499,460 | 465,988 | 462,024 |
ROE | 22.07% | 19.34% | 19.73% | 19.72% | 21.83% | 23.01% | 22.01% | 21.22% | 19.61% | 17.94% | 17.55% | 16.26% | 15.28% | 17.65% | 14.54% | 10.34% | 7.13% | 6.34% | 7.72% | 11.13% |
December 31, 2024 calculation
ROE = Net income (ttm) ÷ Total stockholders’ equity
= $164,358K ÷ $744,871K
= 22.07%
Inter Parfums Inc's return on equity (ROE) has shown a fluctuating trend over the past five years. Starting at 11.13% in March 2020, the ROE decreased to 7.72% by June 2020, reflecting a decline in profitability. Subsequently, the ROE continued to decrease to 6.34% by September 2020, indicating potential concerns regarding the company's efficiency in generating returns for its shareholders.
However, the trend reversed as the ROE started to increase from December 2020 onwards. The ROE reached 7.13% by the end of December 2020 and saw a consistent uptrend, reaching a high of 23.01% by September 2023. This significant improvement in ROE suggests that Inter Parfums Inc effectively utilized its shareholders' equity to generate profits during this period.
Although the ROE experienced a slight decline to 21.83% by the end of December 2023, followed by further decreases in subsequent quarters, the company maintained a relatively strong ROE performance above 19% up to December 2024, reflecting a positive trend in shareholder value creation.
Overall, the increasing trend in Inter Parfums Inc's ROE from 2020 to 2023 indicates an improvement in the company's profitability and efficiency in generating returns for its shareholders. However, the slight fluctuations in ROE in 2024 suggest that monitoring and maintaining this performance will be crucial for sustaining shareholder value in the future.
Peer comparison
Dec 31, 2024