Leggett & Platt Incorporated (LEG)

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 -136,800 213,300 231,900 272,900 309,800 362,500 388,300 405,300 402,400 404,900 414,700 296,400 253,000 231,800 224,400 316,700 333,800 300,000 290,400 289,200
Total stockholders’ equity US$ in thousands 1,333,300 1,635,100 1,668,000 1,666,500 1,640,700 1,562,200 1,614,000 1,670,800 1,648,000 1,575,800 1,534,200 1,455,700 1,424,600 1,299,500 1,214,200 1,238,200 1,312,000 1,255,200 1,238,200 1,194,700
ROE -10.26% 13.05% 13.90% 16.38% 18.88% 23.20% 24.06% 24.26% 24.42% 25.69% 27.03% 20.36% 17.76% 17.84% 18.48% 25.58% 25.44% 23.90% 23.45% 24.21%

December 31, 2023 calculation

ROE = Net income (ttm) ÷ Total stockholders’ equity
= $-136,800K ÷ $1,333,300K
= -10.26%

Leggett & Platt, Inc.'s return on equity (ROE) has displayed some fluctuation over the past eight quarters, ranging from a low of -10.26% in Q4 2023 to a high of 24.26% in Q1 2022. The downward trend in ROE from Q1 2022 to Q4 2023 suggests a decreasing profitability relative to the equity shareholders have invested in the company. However, it is worth noting that the ROE improved marginally in Q3 2023 and Q2 2023 compared to the preceding quarters.

The negative ROE in Q4 2023 indicates that the company experienced a net loss for that period, resulting in a deficit in equity returns for shareholders. Conversely, the higher ROE percentages in the earlier quarters, such as in Q1 and Q2 2022, imply that Leggett & Platt's profitability was relatively stronger during those periods, thereby providing more favorable returns to shareholders relative to their equity investment.

Overall, the varying ROE figures suggest fluctuations in the company's ability to generate profits from the shareholders' equity. Investors and stakeholders may need to closely monitor the company's financial performance and profitability trends to assess the sustainability and efficiency of its operations and capital utilization.


Peer comparison

Dec 31, 2023

Company name
Symbol
ROE
Leggett & Platt Incorporated
LEG
-10.26%
La-Z-Boy Incorporated
LZB
12.23%
Tempur Sealy International Inc
TPX
110.41%