Ralph Lauren Corp Class A (RL)

Return on equity (ROE)

		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	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019
Net income (ttm)	US$ in thousands	646,300	587,900	527,800	531,400	522,700	514,800	516,000	558,800	600,100	501,600	403,700	171,300	-121,100	-296,000	-81,700	139,500	384,300	664,900	450,800	439,000
Total stockholders’ equity	US$ in thousands	2,450,300	2,571,900	2,369,200	2,441,000	2,430,500	2,467,800	2,255,600	2,364,100	2,536,000	2,722,900	2,862,800	2,717,700	2,604,400	2,692,000	2,544,100	2,555,500	2,693,100	3,116,500	2,913,600	3,012,800
ROE		26.38%	22.86%	22.28%	21.77%	21.51%	20.86%	22.88%	23.64%	23.66%	18.42%	14.10%	6.30%	-4.65%	-11.00%	-3.21%	5.46%	14.27%	21.33%	15.47%	14.57%

March 31, 2024 calculation

ROE = Net income (ttm) ÷ Total stockholders’ equity
= $646,300K ÷ $2,450,300K
= 26.38%

Ralph Lauren Corp Class A's return on equity (ROE) has shown a positive trend over the past few quarters, indicating improved profitability and efficiency in generating returns for shareholders. The ROE increased from -11.00% in Dec 31, 2020, to 26.38% in Mar 31, 2024, signaling a significant turnaround. This improvement suggests the company has effectively utilized its equity to generate profits.

It is worth noting that the ROE saw a dip in the Sep 30, 2021, and Jun 30, 2021, quarters, but quickly rebounded and has been on an upward trajectory since then. This resilience reflects the company's ability to adapt to challenges and implement strategies to enhance its financial performance.

Overall, Ralph Lauren Corp Class A's increasing ROE indicates a positive outlook for the company in terms of financial health, management effectiveness, and potential for creating value for its shareholders.