OSI Systems Inc (OSIS)

Return on equity (ROE)

		Jun 30, 2025	Jun 30, 2024	Jun 30, 2023	Jun 30, 2022	Jun 30, 2021
Net income	US$ in thousands	149,637	128,154	91,778	115,347	74,049
Total stockholders’ equity	US$ in thousands	951,084	863,483	726,165	638,424	639,820
ROE		15.73%	14.84%	12.64%	18.07%	11.57%

June 30, 2025 calculation

ROE = Net income ÷ Total stockholders’ equity
= $149,637K ÷ $951,084K
= 15.73%

The analysis of OSI Systems Inc.'s return on equity (ROE) over the specified period reveals a pattern of fluctuation and gradual improvement. As of June 30, 2021, the company's ROE stood at 11.57%, indicating a relatively modest level of profitability relative to shareholders' equity. Moving into the following year, there was a notable increase to 18.07% by June 30, 2022, reflecting a significant enhancement in the company's efficiency at generating profits from shareholders' investments.

However, this upward trend was not sustained in the subsequent year, as the ROE declined to 12.64% by June 30, 2023. This drop suggests either increased equity levels without a proportional increase in net income or challenges in maintaining previous profit margins. Nevertheless, the company demonstrated signs of recovery, with the ROE rising again to 14.84% by June 30, 2024, and further improving to 15.73% by June 30, 2025.

Overall, OSI Systems Inc. has experienced periods of both growth and contraction in its ROE, with recent figures indicating a positive trajectory and potential stabilization in profitability relative to shareholders' equity. The fluctuations may warrant further analysis of underlying factors such as net income margins, leverage, and equity management strategies to fully assess the company's operational efficiency and profitability outlook.