Pacira BioSciences, Inc. (PCRX)

Return on equity (ROE)

		Dec 31, 2024	Sep 30, 2024	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
Net income (ttm)	US$ in thousands	-99,560	-90,731	63,593	70,470	41,955	6,983	-4,568	-10,455	15,909	20,882	39,235	38,440	41,981	61,624	174,083	147,733	145,523	126,121	-10,085	-86
Total stockholders’ equity	US$ in thousands	778,348	749,583	879,278	892,162	870,130	831,551	807,975	768,041	775,010	770,123	756,636	709,576	730,408	718,602	687,168	650,818	619,688	584,690	388,148	374,037
ROE		-12.79%	-12.10%	7.23%	7.90%	4.82%	0.84%	-0.57%	-1.36%	2.05%	2.71%	5.19%	5.42%	5.75%	8.58%	25.33%	22.70%	23.48%	21.57%	-2.60%	-0.02%

December 31, 2024 calculation

ROE = Net income (ttm) ÷ Total stockholders’ equity
= $-99,560K ÷ $778,348K
= -12.79%

The return on equity (ROE) of Pacira BioSciences, Inc. has shown significant variability over the past few years. The trend indicates that the company's profitability in relation to shareholders' equity has fluctuated.

Starting from September 2020 to June 2021, Pacira BioSciences experienced a consistent increase in ROE, with values ranging from 21.57% to 25.33%. This period reflects a strong performance in generating profits relative to shareholder investment.

However, the ROE began to decline starting from September 2021, gradually decreasing to 2.05% by December 2022. The company faced challenges in maintaining profitability compared to equity during this period.

In the following quarters, there were slight improvements in ROE, with values ranging from -1.36% to 7.90% up to June 2024. Despite these improvements, the ROE continued to be volatile, with negative percentages recorded in the third and fourth quarters of 2024 (-12.10% and -12.79% respectively).

Overall, Pacira BioSciences, Inc.'s ROE demonstrates both periods of strong profitability relative to shareholder equity and phases of lower returns. Management may need to focus on strategies to enhance profitability and optimize the utilization of equity moving forward to ensure sustained financial performance.