Olin Corporation (OLN)
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 | 452,000 | 599,800 | 810,500 | 1,087,900 | 1,326,900 | 1,436,900 | 1,512,400 | 1,446,100 | 1,296,700 | 957,100 | -170,400 | -646,300 | -969,900 | -1,014,100 | -233,100 | -133,000 | -11,300 | 119,200 | 270,100 | 348,700 |
| Total stockholders’ equity | US$ in thousands | 2,232,400 | 2,327,500 | 2,432,000 | 2,492,800 | 2,543,600 | 2,549,700 | 2,696,100 | 2,785,900 | 2,652,200 | 2,387,900 | 2,074,700 | 1,696,600 | 1,450,800 | 1,469,100 | 2,188,900 | 2,289,100 | 2,417,500 | 2,664,700 | 2,770,800 | 2,837,600 |
| ROE | 20.25% | 25.77% | 33.33% | 43.64% | 52.17% | 56.36% | 56.10% | 51.91% | 48.89% | 40.08% | -8.21% | -38.09% | -66.85% | -69.03% | -10.65% | -5.81% | -0.47% | 4.47% | 9.75% | 12.29% |
December 31, 2023 calculation
ROE = Net income (ttm) ÷ Total stockholders’ equity
= $452,000K ÷ $2,232,400K
= 20.25%
To analyze Olin Corp.'s return on equity (ROE) based on the provided data:
1. Trend Analysis: The ROE has shown a decreasing trend from Q4 2022 (52.17%) to Q4 2023 (20.61%). This indicates a decline in the company's profitability relative to its equity base over this period.
2. Quarterly Performance: In Q1 2023, the ROE was the highest at 43.64% compared to the other quarters in 2023. This suggests better profitability per unit of equity investment in that particular quarter.
3. Year-over-Year Comparison: Comparing Q4 2022 to Q4 2023, there has been a significant decrease in ROE (52.17% to 20.61%). This might indicate challenges or changes in the company's financial performance and efficiency over the year.
4. ROE Volatility: The ROE has shown variability over the quarters in 2022 and 2023, ranging from 20.61% to 56.36%. This fluctuation could be due to various factors such as changes in net income, total equity, financial leverage, or operational efficiency.
5. Industry Benchmarking: To better evaluate Olin Corp.'s ROE performance, it would be beneficial to compare these figures with industry averages or competitors' ROE. This can provide insights into whether Olin Corp. is performing better or worse in terms of generating returns for its shareholders.
Overall, Olin Corp.'s ROE has exhibited fluctuations over the quarters, with a general declining trend from Q4 2022 to Q4 2023. Further analysis would be necessary to understand the underlying reasons for these changes and to assess the company's overall financial health and performance.
Peer comparison
Dec 31, 2023