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