Mattel Inc (MAT)

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 541,817 548,273 322,216 292,543 209,624 71,406 214,987 254,200 380,600 597,300 1,120,000 1,048,100 917,700 822,400 325,800 222,100 126,600 -3,700 -249,100 -247,900
Total stockholders’ equity US$ in thousands 2,264,120 2,312,950 1,973,130 2,025,310 2,149,210 2,035,500 1,962,400 1,937,700 2,056,300 1,967,500 1,728,000 1,618,100 1,568,800 1,331,200 527,700 473,900 596,300 404,500 86,100 157,900
ROE 23.93% 23.70% 16.33% 14.44% 9.75% 3.51% 10.96% 13.12% 18.51% 30.36% 64.81% 64.77% 58.50% 61.78% 61.74% 46.87% 21.23% -0.91% -289.31% -157.00%

December 31, 2024 calculation

ROE = Net income (ttm) ÷ Total stockholders’ equity
= $541,817K ÷ $2,264,120K
= 23.93%

Mattel Inc's return on equity (ROE) has shown significant fluctuations over the past few years. The company reported negative ROE figures in the first half of 2020, indicating that its net income was insufficient to cover shareholders' equity, resulting in a negative return. However, the ROE turned positive by the end of 2020 and has been steadily increasing since then.

The ROE improved to 21.23% by December 31, 2020, and continued to rise to 64.81% by June 30, 2022. This upward trend suggests that Mattel was effectively utilizing its equity to generate profit during this period. The peak ROE was observed on March 31, 2022, at 64.77%.

However, there was a slight decline in ROE in the subsequent quarters, dropping to 9.75% by December 31, 2023, before recovering slightly to 23.93% by the end of 2024. While the ROE figures fluctuated during this period, the overall trend indicated that Mattel was able to generate a positive return for its equity holders.

The varying ROE values reflect changes in the company's profitability and efficiency in utilizing shareholders' equity. Investors and analysts may need to closely monitor these trends to assess the company's performance and ability to generate returns on their investment in the future.