Packaging Corp of America (PKG)
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 | 803,300 | 771,400 | 718,200 | 722,000 | 765,200 | 787,600 | 865,000 | 961,200 | 1,023,300 | 1,026,700 | 1,015,100 | 921,700 | 834,700 | 742,400 | 631,500 | 482,200 | 457,500 | 470,000 | 510,400 | 646,300 |
| Total stockholders’ equity | US$ in thousands | 4,404,000 | 4,263,600 | 4,126,600 | 4,031,000 | 3,997,300 | 3,887,200 | 3,848,600 | 3,757,700 | 3,667,100 | 3,971,200 | 3,964,500 | 3,779,300 | 3,607,200 | 3,608,300 | 3,444,300 | 3,331,200 | 3,246,300 | 3,205,400 | 3,133,100 | 3,149,900 |
| ROE | 18.24% | 18.09% | 17.40% | 17.91% | 19.14% | 20.26% | 22.48% | 25.58% | 27.90% | 25.85% | 25.60% | 24.39% | 23.14% | 20.57% | 18.33% | 14.48% | 14.09% | 14.66% | 16.29% | 20.52% |
December 31, 2024 calculation
ROE = Net income (ttm) ÷ Total stockholders’ equity
= $803,300K ÷ $4,404,000K
= 18.24%
Packaging Corp of America's return on equity (ROE) has exhibited fluctuations over the past five years, with a general trend of variability. The ROE stood at 20.52% as of March 31, 2020, showing a strong performance. However, there was a gradual decline in ROE over the subsequent quarters, reaching 14.09% by the end of December 31, 2020.
From the beginning of 2021, the ROE started to improve again, reaching a peak of 27.90% by December 31, 2022. This period reflected a significant rebound in profitability and shareholder value creation. However, in the following quarters, the ROE experienced a slight decline, with the ratio standing at 18.24% as of December 31, 2024.
It is essential to note that, although there have been fluctuations in Packaging Corp of America's ROE over the years, the company has generally maintained a decent level of return on equity, indicating efficient utilization of shareholder funds to generate profits. Further analysis may be required to understand the specific factors driving these fluctuations and to assess the sustainability of the company's ROE performance in the future.
Peer comparison
Dec 31, 2024