Paramount Skydance Corporation Class B Common Stock (PSKY)

Return on equity (ROE)

		Jun 30, 2025	Mar 31, 2025	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
Net income (ttm)	US$ in thousands	-14,000	-5,484,000	-6,190,000	-5,889,000	-5,595,000	-481,000	-1,009,000	-1,095,000	-1,159,000	-441,000	1,074,000	3,141,000	3,448,000	4,065,000	4,543,000	3,295,000	3,372,000	2,817,000	2,422,000	2,578,000
Total stockholders’ equity	US$ in thousands	16,705,000	16,538,000	16,320,000	16,628,000	16,497,000	21,894,000	22,526,000	21,864,000	21,655,000	21,851,000	23,036,000	22,647,000	22,776,000	22,664,000	22,402,000	20,559,000	20,098,000	19,171,000	15,371,000	14,556,000
ROE		-0.08%	-33.16%	-37.93%	-35.42%	-33.92%	-2.20%	-4.48%	-5.01%	-5.35%	-2.02%	4.66%	13.87%	15.14%	17.94%	20.28%	16.03%	16.78%	14.69%	15.76%	17.71%

June 30, 2025 calculation

ROE = Net income (ttm) ÷ Total stockholders’ equity
= $-14,000K ÷ $16,705,000K
= -0.08%

The analysis of Paramount Skydance Corporation Class B Common Stock’s Return on Equity (ROE) over the period from September 2020 to June 2025 reveals significant fluctuations and an overall downward trend. Initially, the ROE exhibited relatively strong performance, with values such as 17.71% in September 2020 and peaking at 20.28% in December 2021. During this interval, the company demonstrated effective utilization of shareholders' equity to generate profits, indicated by positive and comparatively high ROE figures.

However, beginning around March 2022, there was a noticeable decline in ROE, dropping to approximately 13.87% by September 2022. This downward momentum continued into 2023 and beyond, with the ROE turning negative at -2.02% in March 2023 and deteriorating further in subsequent periods, reaching -33.92% in June 2024. The negative ROE values during these periods suggest that the company has been generating losses relative to shareholders' equity, reflecting decreased profitability and possibly increased liabilities or operational challenges.

The persistent negative figures, worsening over time, particularly from December 2022 onward, indicate deteriorating financial performance and diminishing efficiency in generating returns for shareholders. The minimal recovery to -0.08% in June 2025 suggests a potential stabilization at very low or negative levels, which may signal ongoing financial distress or strategic shifts affecting profitability.

In summary, the company's ROE experienced a period of robustness in late 2020 through late 2021, followed by a sustained decline from early 2022 onward, culminating in negative returns indicating financial challenges, reduced profitability, and potential concerns regarding operational sustainability over the observed timeframe.