nVent Electric PLC (NVT)
Return on equity (ROE)
| Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | 576,500 | 578,400 | 567,100 | 470,900 | 458,800 | 425,800 | 399,800 | 308,100 | 289,000 | 275,300 | 272,900 | 253,000 | 40,000 | -400 | -47,200 | -48,800 | 149,800 | 184,900 | 222,700 | 244,200 |
| Total stockholders’ equity | US$ in thousands | 3,287,800 | 3,212,300 | 3,142,100 | 2,945,100 | 2,875,700 | 2,789,900 | 2,731,700 | 2,650,600 | 2,586,000 | 2,533,900 | 2,496,100 | 2,541,600 | 2,492,800 | 2,450,000 | 2,409,800 | 2,413,400 | 2,578,200 | 2,576,600 | 2,592,500 | 2,566,500 |
| ROE | 17.53% | 18.01% | 18.05% | 15.99% | 15.95% | 15.26% | 14.64% | 11.62% | 11.18% | 10.86% | 10.93% | 9.95% | 1.60% | -0.02% | -1.96% | -2.02% | 5.81% | 7.18% | 8.59% | 9.51% |
June 30, 2024 calculation
ROE = Net income (ttm) ÷ Total stockholders’ equity
= $576,500K ÷ $3,287,800K
= 17.53%
nVent Electric PLC's return on equity (ROE) has shown a positive trend over the past several quarters. From December 2019 to June 2024, the ROE has gradually increased from 8.59% to 18.01%. This indicates that the company has been effectively utilizing shareholder equity to generate profits.
The ROE peaked at 18.05% in December 2023, demonstrating a strong performance in effectively generating profits from shareholders' investments. However, there was a slight dip in the following quarter to 15.99%, which could be attributed to various factors such as changes in financial leverage or profitability.
Overall, the upward trend in ROE indicates that the company's management has been efficient in generating profits relative to the equity invested by shareholders. Investors and stakeholders may view this positively as it signifies the company's ability to generate value and returns on their investment.
Peer comparison
Jun 30, 2024