Qorvo Inc (QRVO)

Return on equity (ROE)

		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	Jun 30, 2020
Net income (ttm)	US$ in thousands	55,615	26,985	-141,224	-26,328	-70,322	-211,473	-100,466	-9,312	103,152	453,843	686,037	816,611	1,033,353	1,119,815	1,104,587	922,315	733,611	485,264	445,585	391,706
Total stockholders’ equity	US$ in thousands	3,392,310	3,380,430	3,410,170	3,486,260	3,556,370	3,638,350	3,817,190	3,812,220	3,902,790	4,164,570	4,322,140	4,300,600	4,553,220	4,667,200	4,727,750	4,648,390	4,629,420	4,503,700	4,407,170	4,351,240
ROE		1.64%	0.80%	-4.14%	-0.76%	-1.98%	-5.81%	-2.63%	-0.24%	2.64%	10.90%	15.87%	18.99%	22.69%	23.99%	23.36%	19.84%	15.85%	10.77%	10.11%	9.00%

March 31, 2025 calculation

ROE = Net income (ttm) ÷ Total stockholders’ equity
= $55,615K ÷ $3,392,310K
= 1.64%

Qorvo Inc's return on equity (ROE) has shown fluctuations over the period from June 30, 2020, to March 31, 2025. The ROE started at 9.00% in June 2020 and gradually increased, reaching a peak of 23.99% by December 31, 2021. This improvement in ROE indicates that the company was generating higher returns for its shareholders relative to its equity during this period.

However, the ROE began to decline thereafter, dropping to 2.64% by March 31, 2023, and turning negative in the following quarters. The negative ROE figures suggest that Qorvo Inc's net income was not sufficient to cover its shareholders' equity, signaling potential financial difficulties.

Although there was a slight recovery in the ROE in the later periods, reaching 1.64% by March 31, 2025, the overall trend indicates a decline in the company's profitability and efficiency in generating returns on equity. It is important for investors and stakeholders to closely monitor Qorvo Inc's financial performance and strategies to address the declining ROE trend.