Monarch Casino & Resort Inc (MCRI)

Return on equity (ROE)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Net income	US$ in thousands	82,448	87,479	68,488	23,678	31,816
Total stockholders’ equity	US$ in thousands	513,140	538,954	448,014	368,067	341,201
ROE		16.07%	16.23%	15.29%	6.43%	9.32%

December 31, 2023 calculation

ROE = Net income ÷ Total stockholders’ equity
= $82,448K ÷ $513,140K
= 16.07%

Monarch Casino & Resort, Inc.'s return on equity (ROE) has shown a generally positive trend over the past five years. The company's ROE has consistently improved from 9.32% in 2019 to 16.07% in 2023. This indicates that the company has been able to generate more profit relative to its shareholders' equity over time.

The stable and increasing ROE reflects positively on Monarch Casino & Resort's ability to efficiently utilize its equity to generate earnings. The ROE increase from 6.43% in 2020 to 16.23% in 2022 was particularly significant, indicating an improvement in profitability and asset utilization during this period.

Overall, the upward trend in ROE signals that Monarch Casino & Resort, Inc. has been effectively managing its resources and assets to generate returns for its shareholders. It suggests that the company is becoming more efficient and profitable over the years, which is a positive indicator of its financial health and performance.