MaxLinear Inc (MXL)

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	-73,147	-3,567	64,670	100,987	125,040	122,136	102,986	71,753	41,969	-10,879	-56,782	-79,322	-98,593	-82,025	-50,094	-30,516	-19,898	-11,483	-20,704	-32,897
Total stockholders’ equity	US$ in thousands	686,265	702,677	746,047	734,112	676,385	615,881	569,597	527,846	489,198	457,543	433,667	420,778	391,117	396,808	401,975	408,157	414,920	413,351	411,376	408,204
ROE		-10.66%	-0.51%	8.67%	13.76%	18.49%	19.83%	18.08%	13.59%	8.58%	-2.38%	-13.09%	-18.85%	-25.21%	-20.67%	-12.46%	-7.48%	-4.80%	-2.78%	-5.03%	-8.06%

December 31, 2023 calculation

ROE = Net income (ttm) ÷ Total stockholders’ equity
= $-73,147K ÷ $686,265K
= -10.66%

To analyze MaxLinear Inc's return on equity (ROE) over the specified period, let's examine the trend and the reasons behind the changes in ROE.

The ROE has shown fluctuations, starting at 13.59% in March 2022, increasing to 19.83% in September 2022, and then declining to -10.66% in December 2023. An ROE of -10.66% indicates that the company's net income is insufficient to cover its shareholders' equity, suggesting a potential cause for concern.

The decline in ROE from March 2023 to December 2023 raises questions about the company's profitability and efficiency in generating returns for its shareholders. It would be important to investigate the reasons underlying this decline, such as increased expenses, a decrease in revenue, or changes in the capital structure.

Overall, the trend in ROE suggests that MaxLinear Inc has experienced fluctuations in its ability to generate profits from shareholders' equity over the specified period, indicating the need for further analysis to identify the factors influencing the company's return on equity.