QuinStreet Inc (QNST)

Return on equity (ROE)

		Jun 30, 2025	Jun 30, 2024	Jun 30, 2023	Jun 30, 2022	Jun 30, 2021
Net income	US$ in thousands	4,707	-31,331	-68,866	-5,248	23,555
Total stockholders’ equity	US$ in thousands	244,044	216,825	229,801	286,000	295,550
ROE		1.93%	-14.45%	-29.97%	-1.83%	7.97%

June 30, 2025 calculation

ROE = Net income ÷ Total stockholders’ equity
= $4,707K ÷ $244,044K
= 1.93%

The return on equity (ROE) for QuinStreet Inc has exhibited significant fluctuations over the represented period from June 30, 2021, to June 30, 2025. Initially, the company demonstrated a relatively modest positive ROE of 7.97% as of June 30, 2021, indicating that the firm was generating a reasonable return on shareholders' equity during that fiscal year. However, the subsequent year experienced a downturn, with the ROE declining sharply into negative territory at -1.83% by June 30, 2022, suggesting the company faced challenges in generating profitability relative to shareholders' equity.

The trend of declining profitability continued through June 30, 2023, with ROE deteriorating further to -29.97%, signaling a significant loss relative to equity and possibly reflecting operational difficulties, increased costs, or other adverse factors impacting net income. Despite the severe downturn, the ROE improved to -14.45% by June 30, 2024, indicating a partial recovery or reduction in losses but remaining negative, which underscores ongoing profitability challenges.

By June 30, 2025, the ROE improved to a positive 1.93%, marking the first instance of net positive returns over this period. This suggests that the company's profitability has begun to stabilize or recover to a level where it is capable of generating a modest return on shareholders’ equity, although this figure remains relatively low and indicates that the company’s equity base is still witnessing limited efficiency in producing net income.

Overall, the data reflects a period of distress and subsequent partial recovery for QuinStreet Inc, with substantial volatility in profitability metrics. The swings from positive to negative ROE and back to marginally positive figures highlight ongoing operational or strategic adjustments within the company.