Louisiana-Pacific Corporation (LPX)
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 | 420,000 | 417,000 | 445,000 | 265,000 | 178,000 | 111,000 | 219,000 | 623,000 | 1,086,000 | 1,288,000 | 1,427,000 | 1,541,000 | 1,377,000 | 1,439,000 | 1,251,000 | 786,000 | 499,000 | 192,000 | 17,000 | 1,000 |
| Total stockholders’ equity | US$ in thousands | 1,671,000 | 1,666,000 | 1,658,000 | 1,617,000 | 1,557,000 | 1,502,000 | 1,419,000 | 1,450,000 | 1,433,000 | 1,361,000 | 1,484,000 | 1,613,000 | 1,235,000 | 1,368,000 | 1,433,000 | 1,404,000 | 1,234,000 | 1,142,000 | 1,000,000 | 984,000 |
| ROE | 25.13% | 25.03% | 26.84% | 16.39% | 11.43% | 7.39% | 15.43% | 42.97% | 75.79% | 94.64% | 96.16% | 95.54% | 111.50% | 105.19% | 87.30% | 55.98% | 40.44% | 16.81% | 1.70% | 0.10% |
December 31, 2024 calculation
ROE = Net income (ttm) ÷ Total stockholders’ equity
= $420,000K ÷ $1,671,000K
= 25.13%
Louisiana-Pacific Corporation's return on equity (ROE) has shown significant fluctuations over the past few years. The ROE increased steadily from March 2020 to June 2021, experiencing a substantial uptrend from 0.10% to 87.30%. This significant improvement indicates that the company efficiently utilized its shareholder equity to generate profits during this period.
However, from September 2021 to March 2024, the ROE started to decline, with some fluctuations along the way. The ROE dropped from the peak of 111.50% in December 2021 to a low of 7.39% in September 2023, before gradually recovering.
The fluctuations in ROE suggest that Louisiana-Pacific Corporation faced challenges in maintaining its profitability and efficient use of shareholder equity during this period. Investors may need to closely monitor the company's financial performance and management strategies to understand the reasons behind these fluctuations and assess the company's long-term sustainability.
Peer comparison
Dec 31, 2024