Mattel Inc (MAT)
Return on equity (ROE)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 541,817 | 214,400 | 393,913 | 902,987 | 123,579 |
| Total stockholders’ equity | US$ in thousands | 2,264,120 | 2,149,210 | 2,056,300 | 1,568,800 | 596,300 |
| ROE | 23.93% | 9.98% | 19.16% | 57.56% | 20.72% |
December 31, 2024 calculation
ROE = Net income ÷ Total stockholders’ equity
= $541,817K ÷ $2,264,120K
= 23.93%
Mattel Inc's return on equity (ROE) has exhibited significant fluctuations over the years based on the provided data. The ROE stood at 20.72% as of December 31, 2020, indicating that for each dollar of shareholders' equity, the company generated a return of 20.72%. This metric experienced a notable increase to 57.56% by December 31, 2021, reflecting a substantial improvement in the company's profitability and efficiency in utilizing shareholder funds.
However, the ROE declined to 19.16% by December 31, 2022, suggesting a decrease in the company's ability to generate profits from shareholders' equity. This trend continued as the ROE further decreased to 9.98% by December 31, 2023, potentially indicating challenges or inefficiencies in the company's operations or financial management during that period.
Subsequently, there was a recovery in ROE, reaching 23.93% as of December 31, 2024, showing an improvement in the company's profitability compared to the previous year. Overall, the fluctuation in Mattel Inc's ROE highlights the importance of monitoring and analyzing financial performance metrics to assess the company's ability to generate returns for its shareholders.