PDF Solutions Inc (PDFS)

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	3,105	2,701	9,058	1,076	-3,429	-10,912	-14,704	-18,041	-21,488	-47,937	-48,264	-47,432	-40,363	-8,244	-6,197	-3,255	-5,418	-7,202	-8,597	-9,983
Total stockholders’ equity	US$ in thousands	228,946	221,564	224,170	213,425	210,012	203,203	197,875	213,567	219,585	223,455	223,124	225,253	234,506	264,777	197,705	198,469	196,157	194,987	194,892	197,347
ROE		1.36%	1.22%	4.04%	0.50%	-1.63%	-5.37%	-7.43%	-8.45%	-9.79%	-21.45%	-21.63%	-21.06%	-17.21%	-3.11%	-3.13%	-1.64%	-2.76%	-3.69%	-4.41%	-5.06%

December 31, 2023 calculation

ROE = Net income (ttm) ÷ Total stockholders’ equity
= $3,105K ÷ $228,946K
= 1.36%

The return on equity (ROE) of PDF Solutions Inc. has exhibited fluctuations over the past eight quarters. In Q4 2023, the company's ROE stood at 1.36%, showing a slight improvement from the previous quarter's 1.22%. Prior to this, in Q2 2023, there was a notable increase in ROE to 4.04%, but it declined to 0.50% in Q1 2023. The negative ROE values recorded in Q4 2022 (-1.63%), Q3 2022 (-5.37%), Q2 2022 (-7.43%), and Q1 2022 (-8.45%) indicated periods of low profitability relative to shareholders' equity. Overall, the recent positive trend in ROE may suggest improving profitability and efficiency in generating returns for shareholders, but the company should continue to monitor and sustain this upward trajectory to enhance long-term shareholder value.