Mercury Systems Inc (MRCY)
Return on equity (ROE)
Jun 30, 2025 | Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | ||
---|---|---|---|---|---|---|
Net income | US$ in thousands | -37,904 | -137,640 | -28,335 | 11,275 | 62,044 |
Total stockholders’ equity | US$ in thousands | 1,473,460 | 1,472,780 | 1,566,680 | 1,537,180 | 1,484,150 |
ROE | -2.57% | -9.35% | -1.81% | 0.73% | 4.18% |
June 30, 2025 calculation
ROE = Net income ÷ Total stockholders’ equity
= $-37,904K ÷ $1,473,460K
= -2.57%
The Return on Equity (ROE) for Mercury Systems Inc. demonstrates a declining trend over the specified period, indicating deteriorating profitability relative to shareholders’ equity. As of June 30, 2021, the company’s ROE was 4.18%, reflecting a modest but positive return on shareholders' investments. By June 30, 2022, this figure significantly decreased to 0.73%, suggesting a substantial reduction in profitability margins or increased equity base without proportionate earnings growth. The decline persists into June 30, 2023, with a negative ROE of -1.81%, indicating that the company posted a net loss or experienced an erosion of shareholder value during that fiscal year. The downward trajectory continues with an ROE of -9.35% on June 30, 2024, and marginally improves to -2.57% on June 30, 2025, still remaining below zero. This persistent negative ROE over multiple years suggests recurring losses, inefficiencies, or challenges in generating adequate profits from shareholders’ equity, which could be attributable to operational, market, or strategic issues facing Mercury Systems Inc.
Peer comparison
Jun 30, 2025