Quaker Chemical Corporation (KWR)

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 112,748 16,593 8,790 -6,213 -15,931 78,152 83,343 102,570 121,369 151,713 147,959 106,654 39,658 6,428 -33,929 -10,603 31,622 24,187 56,930 60,585
Total stockholders’ equity US$ in thousands 1,384,320 1,340,380 1,335,980 1,316,110 1,277,920 1,279,000 1,329,940 1,395,070 1,387,290 1,383,080 1,374,800 1,328,890 1,320,360 1,225,940 1,166,910 1,162,120 1,240,760 1,202,020 456,507 444,991
ROE 8.14% 1.24% 0.66% -0.47% -1.25% 6.11% 6.27% 7.35% 8.75% 10.97% 10.76% 8.03% 3.00% 0.52% -2.91% -0.91% 2.55% 2.01% 12.47% 13.61%

December 31, 2023 calculation

ROE = Net income (ttm) ÷ Total stockholders’ equity
= $112,748K ÷ $1,384,320K
= 8.14%

To analyze Quaker Houghton's return on equity (ROE) over the past eight quarters, we observe fluctuations in ROE performance. In Q4 2023, the ROE stood at 8.10%, showing a positive trend compared to the previous quarters. The significant improvement in ROE in Q4 2023 could be attributed to enhanced profitability or efficient utilization of equity.

Prior to Q4 2023, Quaker Houghton experienced varying levels of ROE performance. In Q3 2023, ROE was at 1.23%, indicating relatively lower returns compared to Q2 2023, where ROE stood at 0.65%. Additionally, Q1 2023 reported a negative ROE of -0.47%, implying that the company operated at a loss relative to its equity.

Comparing Q4 2023 to the same period in the previous year (Q4 2022), we note a substantial improvement. Quaker Houghton's ROE increased from a negative 1.24% in Q4 2022 to a positive 8.10% in Q4 2023, underlining a positive performance turnaround over the year.

Analyzing the trend further, we observe that Quaker Houghton experienced relatively higher ROE levels in Q2 2022 (7.32%) and Q3 2022 (6.24%), indicating a favorable performance during that period. However, there was a slight decline in ROE in Q4 2022 compared to the preceding quarters.

Overall, the latest performance in Q4 2023 demonstrates positive growth potential for Quaker Houghton in terms of generating returns for its shareholders based on the increased ROE. Further analysis of the company's financial statements and business operations would be necessary to understand the factors driving these changes in ROE and to evaluate the sustainability of this improvement in the future.


Peer comparison

Dec 31, 2023

Company name
Symbol
ROE
Quaker Chemical Corporation
KWR
8.14%
Valvoline Inc
VVV
2,113.73%