Revvity Inc. (RVTY)

Return on equity (ROE)

		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	Jul 5, 2020	Apr 5, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Net income (ttm)	US$ in thousands	693,094	742,189	818,039	961,692	569,179	631,705	674,096	740,814	943,157	1,133,334	1,182,295	1,073,527	727,887	412,027	293,886	225,811	227,558	234,349	252,339	247,315
Total stockholders’ equity	US$ in thousands	7,872,740	7,694,280	7,869,960	8,033,810	7,382,880	7,065,200	7,167,160	7,186,340	7,141,240	6,958,580	4,239,810	4,002,300	3,735,490	3,231,680	2,967,460	2,759,750	2,813,820	2,706,800	2,706,870	2,638,470
ROE		8.80%	9.65%	10.39%	11.97%	7.71%	8.94%	9.41%	10.31%	13.21%	16.29%	27.89%	26.82%	19.49%	12.75%	9.90%	8.18%	8.09%	8.66%	9.32%	9.37%

December 31, 2023 calculation

ROE = Net income (ttm) ÷ Total stockholders’ equity
= $693,094K ÷ $7,872,740K
= 8.80%

To analyze Revvity Inc.'s return on equity (ROE) based on the provided data, we observe fluctuations in ROE over the past eight quarters. ROE represents the efficiency with which the company is utilizing shareholders' equity to generate profits.

Revvity Inc.'s ROE has displayed a generally decreasing trend from Q1 2022 (10.31%) to Q4 2023 (8.80%). This trend indicates a potential decline in the company's ability to generate profits with the equity provided by shareholders over time.

Despite the overall decreasing trend, there are instances of slight fluctuations in ROE quarter over quarter. For example, there was a notable increase in ROE from Q4 2022 (7.71%) to Q1 2023 (11.97%), which suggests improved profitability and efficiency in that particular quarter.

It is essential for Revvity Inc. to closely monitor its ROE performance and identify factors contributing to the fluctuations. Analyzing the components of ROE, such as net profit margin, asset turnover, and financial leverage, can provide insight into the drivers of profitability and help the company optimize its operations to enhance ROE in the future.