Iridium Communications Inc (IRDM)
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 | 112,776 | 114,458 | 88,370 | 25,293 | 15,415 | -23,416 | -19,625 | 15,673 | 8,722 | 3,646 | -588 | -1,312 | -9,319 | -11,360 | -13,280 | -29,535 | -56,054 | -155,986 | -169,993 | -175,677 |
| Total stockholders’ equity | US$ in thousands | 576,637 | 663,757 | 786,699 | 853,685 | 888,099 | 925,002 | 1,000,190 | 1,085,590 | 1,128,560 | 1,145,100 | 1,181,100 | 1,191,780 | 1,287,950 | 1,321,780 | 1,314,180 | 1,363,780 | 1,419,440 | 1,415,460 | 1,409,160 | 1,413,790 |
| ROE | 19.56% | 17.24% | 11.23% | 2.96% | 1.74% | -2.53% | -1.96% | 1.44% | 0.77% | 0.32% | -0.05% | -0.11% | -0.72% | -0.86% | -1.01% | -2.17% | -3.95% | -11.02% | -12.06% | -12.43% |
December 31, 2024 calculation
ROE = Net income (ttm) ÷ Total stockholders’ equity
= $112,776K ÷ $576,637K
= 19.56%
Iridium Communications Inc's return on equity (ROE) has shown a fluctuating trend over the period from March 31, 2020, to December 31, 2024. Starting from negative ROE figures in 2020 and early 2021, the company experienced gradual improvements, with ROE turning positive in the latter half of 2022. The positive momentum continued into 2023 and 2024, with significant increases in ROE, reaching a peak of 19.56% by December 31, 2024.
These improvements in ROE demonstrate the company's ability to generate higher returns for its shareholders relative to its equity base. The positive trend in ROE suggests that Iridium Communications Inc is effectively utilizing its equity to generate profits and create value for its investors. This could be a result of strategic growth initiatives, operational efficiencies, or improved financial management practices within the company. Investors and stakeholders may view the increasing ROE positively as it indicates a stronger financial performance and potential for higher returns on their investments.
Peer comparison
Dec 31, 2024