MSA Safety (MSA)

Return on equity (ROE)

		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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Net income (ttm)	US$ in thousands	58,583	33,662	13,312	-6,085	179,630	66,665	42,939	20,432	21,340	97,594	105,795	116,785	124,077	142,019	154,877	158,507	137,997	130,160	121,638	115,011
Total stockholders’ equity	US$ in thousands	966,802	868,726	831,131	769,746	923,741	842,415	838,070	860,907	834,388	824,177	840,419	814,676	839,201	772,465	741,510	712,596	725,800	702,067	685,054	657,361
ROE		6.06%	3.87%	1.60%	-0.79%	19.45%	7.91%	5.12%	2.37%	2.56%	11.84%	12.59%	14.34%	14.79%	18.39%	20.89%	22.24%	19.01%	18.54%	17.76%	17.50%

December 31, 2023 calculation

ROE = Net income (ttm) ÷ Total stockholders’ equity
= $58,583K ÷ $966,802K
= 6.06%

The return on equity (ROE) of MSA Safety Inc has shown fluctuations over the past eight quarters. In Q4 2023, the ROE was 6.05%, a slight improvement from the previous quarter. However, the ROE had been progressively decreasing from Q4 2022 to Q1 2023 when it reached a negative value of -0.80%. This negative ROE indicates that the company's net income was not sufficient to cover shareholder equity during that quarter.

In general, the ROE values fluctuated within a relatively lower range in the first half of 2023 compared to the higher values seen in 2022. The 19.44% ROE in Q4 2022 was the highest among the presented data points, indicating a strong performance in generating profits relative to shareholder equity.

It is important for investors and stakeholders to closely monitor the trend in ROE as it reflects the company's efficiency in generating profits from shareholder investments. The company should focus on improving profitability and managing shareholder equity effectively to ensure sustainable growth in the future.