Liveramp Holdings Inc (RAMP)

Return on equity (ROE)

		Mar 31, 2024	Mar 31, 2023	Mar 31, 2022	Mar 31, 2021	Mar 31, 2020
Net income	US$ in thousands	11,881	-118,702	-33,833	-90,268	-124,511
Total stockholders’ equity	US$ in thousands	949,135	926,076	1,063,060	1,080,680	1,087,510
ROE		1.25%	-12.82%	-3.18%	-8.35%	-11.45%

March 31, 2024 calculation

ROE = Net income ÷ Total stockholders’ equity
= $11,881K ÷ $949,135K
= 1.25%

The return on equity (ROE) of Liveramp Holdings Inc has varied significantly over the past five years. The trend indicates fluctuations in the company's profitability in relation to shareholders' equity.

In the fiscal year ended March 31, 2024, Liveramp Holdings Inc achieved a ROE of 1.25%, showing a modest improvement compared to the previous year, when it reported a ROE of -12.82%. This increase suggests a better utilization of shareholders' equity to generate profit.

However, looking at the data over a longer period reveals that Liveramp's ROE has been volatile. The ROE was negative in three out of the five years, with the highest being -3.18% in March 31, 2022.

The negative ROE figures indicate that Liveramp Holdings Inc has not been effectively utilizing shareholders' equity to generate profits during those years. It is crucial for the company to assess its profitability and operational efficiency to improve ROE and create value for its shareholders in the future.