Photronics Inc (PLAB)

Return on equity (ROE)

		Oct 31, 2024	Oct 31, 2023	Oct 31, 2022	Oct 31, 2021	Oct 31, 2020
Net income	US$ in thousands	130,688	125,485	118,786	55,449	33,820
Total stockholders’ equity	US$ in thousands	1,120,860	975,008	831,527	823,692	804,962
ROE		11.66%	12.87%	14.29%	6.73%	4.20%

October 31, 2024 calculation

ROE = Net income ÷ Total stockholders’ equity
= $130,688K ÷ $1,120,860K
= 11.66%

The return on equity (ROE) of Photronics Inc has shown a fluctuating trend over the past five years.

In 2024, the ROE was 11.66%, slightly lower than the previous year's figure of 12.87%. This indicates a decrease in the company's ability to generate profits from its shareholders' equity.

In 2023, the ROE was 12.87%, showing a slight decrease from the previous year's figure of 14.29%. While still relatively healthy, the downward trend suggests a potential decrease in profitability.

In 2022, the ROE was at its highest point at 14.29%, indicating an increase in the company's profitability and efficiency in generating returns on equity compared to the previous years.

In 2021, the ROE was 6.73%, a significant drop from the previous year's figure of 14.29%. This suggests a decrease in profitability and may require further investigation into the company's financial performance.

In 2020, the ROE was 4.20%, the lowest among the five years analyzed. This indicates a relatively weaker performance in generating returns on equity compared to the subsequent years.

Overall, the fluctuating trend in ROE indicates varying levels of profitability and efficiency in utilizing shareholders' equity over the past five years, suggesting potential areas for improvement in Photronics Inc's financial performance.