M/I Homes Inc (MHO)

Return on equity (ROE)

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Net income US$ in thousands 563,725 465,365 490,662 396,868 239,874
Total stockholders’ equity US$ in thousands 2,939,680 2,516,940 2,070,720 1,624,180 1,258,700
ROE 19.18% 18.49% 23.70% 24.43% 19.06%

December 31, 2024 calculation

ROE = Net income ÷ Total stockholders’ equity
= $563,725K ÷ $2,939,680K
= 19.18%

M/I Homes Inc's return on equity (ROE) has shown fluctuations over the years based on the provided data. The ROE increased from 19.06% in December 31, 2020, to 24.43% in December 31, 2021, indicating improved profitability in the following year. Subsequently, the ROE slightly decreased to 23.70% by December 31, 2022, but still remained at a relatively high level.

However, there was a notable decrease in ROE to 18.49% by December 31, 2023, which may raise concerns about the company's ability to generate returns for its shareholders. The ROE then slightly recovered to 19.18% by December 31, 2024.

Overall, M/I Homes Inc's ROE performance has been mixed, with periods of increase and decrease. It is essential for investors and stakeholders to monitor the company's profitability and efficiency in utilizing its equity to generate returns in the future.