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