Manhattan Associates Inc (MANH)

Return on equity (ROE)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Net income	US$ in thousands	176,568	128,959	110,472	87,240	85,762
Total stockholders’ equity	US$ in thousands	278,278	226,800	250,644	218,897	142,278
ROE		63.45%	56.86%	44.08%	39.85%	60.28%

December 31, 2023 calculation

ROE = Net income ÷ Total stockholders’ equity
= $176,568K ÷ $278,278K
= 63.45%

Manhattan Associates, Inc.'s return on equity (ROE) has shown a positive trend over the past five years, with a notable increase from 39.85% in 2020 to 63.45% in 2023. This indicates that the company has been effectively utilizing shareholders' equity to generate profits. The significant rise in ROE suggests improved efficiency in generating returns for shareholders.

The ROE of Manhattan Associates, Inc. has consistently been above 40% over the last five years, indicating a strong performance in utilizing equity capital to generate profits. The company's ability to maintain ROE above this threshold signifies efficient management of resources and profitability.

Despite a slight dip in ROE in 2022 compared to the previous year, the company managed to bounce back and achieve a new high in 2023. This resilience demonstrates Manhattan Associates, Inc.'s ability to adapt to market conditions and sustain profitability over time.

Overall, Manhattan Associates, Inc.'s ROE performance reflects a positive trend, showcasing the company's ability to generate substantial returns on shareholders' equity and maintain financial health over the years.