Insperity Inc (NSP)

Return on equity (ROE)

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Net income US$ in thousands 91,000 171,000 179,350 124,080 138,237
Total stockholders’ equity US$ in thousands 97,000 94,000 81,000 -1,774 44,132
ROE 93.81% 181.91% 221.42% — 313.24%

December 31, 2024 calculation

ROE = Net income ÷ Total stockholders’ equity
= $91,000K ÷ $97,000K
= 93.81%

Insperity Inc's return on equity (ROE) has shown significant fluctuations over the past five years. In 2020, the company reported an exceptionally high ROE of 313.24%, indicating strong profitability relative to shareholders' equity. However, the ROE data for 2021 is missing, suggesting a potential lack of financial information for that period.

Subsequently, in 2022, Insperity Inc's ROE remained robust at 221.42%, although it decreased from the previous year. The trend continued in 2023, with a further decline to 181.91%, indicating a reduction in profitability efficiency in generating returns for shareholders.

By the end of 2024, Insperity Inc's ROE decreased significantly to 93.81%, marking a substantial drop from the levels seen in previous years. This decline may signal challenges in effectively utilizing equity to generate profits, potentially impacting shareholder value.

Overall, the fluctuating trend in Insperity Inc's ROE over the years highlights the importance of ongoing monitoring and analysis to understand the company's financial performance and its ability to generate returns for shareholders.