PriceSmart Inc (PSMT)

Return on equity (ROE)

		Aug 31, 2024	May 31, 2024	Feb 29, 2024	Nov 30, 2023	Aug 31, 2023	May 31, 2023	Feb 28, 2023	Nov 30, 2022	Aug 31, 2022	May 31, 2022	Feb 28, 2022	Nov 30, 2021	Aug 31, 2021	May 31, 2021	Feb 28, 2021	Nov 30, 2020	Aug 31, 2020	May 31, 2020	Feb 29, 2020	Nov 30, 2019
Net income (ttm)	US$ in thousands	138,875	125,188	122,271	114,347	109,205	117,128	106,814	106,928	104,534	100,691	103,962	100,737	97,963	98,578	88,754	86,118	78,109	78,706	80,097	78,307
Total stockholders’ equity	US$ in thousands	1,122,960	1,095,350	1,093,870	1,082,240	1,107,040	1,089,690	1,043,910	1,026,360	991,073	968,198	953,884	942,146	915,345	898,803	874,268	866,167	831,719	818,666	817,893	816,829
ROE		12.37%	11.43%	11.18%	10.57%	9.86%	10.75%	10.23%	10.42%	10.55%	10.40%	10.90%	10.69%	10.70%	10.97%	10.15%	9.94%	9.39%	9.61%	9.79%	9.59%

August 31, 2024 calculation

ROE = Net income (ttm) ÷ Total stockholders’ equity
= $138,875K ÷ $1,122,960K
= 12.37%

PriceSmart Inc's return on equity (ROE) has exhibited fluctuations over the past 5 years. The ROE has generally ranged between 9% to 12%, indicating the company's ability to generate profit from shareholders' equity.

The upward trend in ROE from Aug 2021 to Aug 2023 suggests an improvement in the company's profitability and efficient utilization of its equity. However, there was a slight dip in ROE in the subsequent period up to Feb 2024.

Overall, PriceSmart Inc's ROE performance shows a relatively stable and satisfactory return to shareholders over the years. Investors may interpret these variations in ROE as reflective of the company's operational efficiency and profitability levels.