Skechers USA Inc (SKX)
Return on equity (ROE)
| 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 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | 639,471 | 627,327 | 579,521 | 591,978 | 545,799 | 534,132 | 474,603 | 412,248 | 373,028 | 699,936 | 717,189 | 764,154 | 741,504 | 392,362 | 353,501 | 148,035 | 98,563 | 104,814 | 143,626 | 286,903 |
| Total stockholders’ equity | US$ in thousands | 4,277,300 | 4,359,010 | 4,221,280 | 4,146,080 | 4,019,340 | 3,952,130 | 3,839,350 | 3,714,850 | 3,569,990 | 3,458,700 | 3,416,260 | 3,367,820 | 3,259,340 | 2,841,500 | 2,733,460 | 2,576,130 | 2,481,440 | 2,402,400 | 2,224,720 | 2,347,720 |
| ROE | 14.95% | 14.39% | 13.73% | 14.28% | 13.58% | 13.52% | 12.36% | 11.10% | 10.45% | 20.24% | 20.99% | 22.69% | 22.75% | 13.81% | 12.93% | 5.75% | 3.97% | 4.36% | 6.46% | 12.22% |
December 31, 2024 calculation
ROE = Net income (ttm) ÷ Total stockholders’ equity
= $639,471K ÷ $4,277,300K
= 14.95%
Return on equity (ROE) is a significant financial metric that measures a company's profitability by evaluating how effectively it generates profit from its shareholders' equity. For Skechers USA Inc, the ROE fluctuated over the specified period.
From March 31, 2020, to December 31, 2020, the ROE showed a declining trend, dropping from 12.22% to 3.97%. This decline may indicate inefficiencies in the company's operations resulting in lower returns relative to its equity base. However, from March 31, 2021, the ROE started to recover, steadily increasing to 14.95% by December 31, 2024.
The average ROE over this period is approximately 12.02%. This indicates that, on average, Skechers USA Inc generated a return of 12.02% on every dollar of shareholders' equity invested in the company. It is important to note that a higher ROE suggests a more efficient use of equity capital and is generally viewed positively by investors and analysts.
Overall, the recent uptrend in ROE for Skechers USA Inc signifies an improvement in the company's profitability and efficiency in generating returns for its shareholders. However, it is essential to consider other financial metrics and factors impacting the company's performance to gain a comprehensive understanding of its financial health.
Peer comparison
Dec 31, 2024