Silgan Holdings Inc (SLGN)
Return on equity (ROE)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 276,378 | 64,400 | 340,848 | 359,081 | 308,722 |
| Total stockholders’ equity | US$ in thousands | 1,989,580 | 1,889,360 | 1,718,300 | 1,562,700 | 1,252,900 |
| ROE | 13.89% | 3.41% | 19.84% | 22.98% | 24.64% |
December 31, 2024 calculation
ROE = Net income ÷ Total stockholders’ equity
= $276,378K ÷ $1,989,580K
= 13.89%
Silgan Holdings Inc's return on equity (ROE) has displayed a declining trend over the five-year period from 2020 to 2024. Starting at 24.64% in December 2020, the ROE decreased to 22.98% by December 2021, further dropping to 19.84% by December 2022. The significant decrease is noted in 2023 when the ROE plummeted to 3.41%, reflecting a concerning performance. However, there was a slight improvement in 2024 as the ROE increased to 13.89%.
This trend suggests that Silgan Holdings Inc's ability to generate profits from its shareholder equity has experienced fluctuations. The company may need to focus on improving its operational efficiency, profitability, and overall financial management to sustain and enhance its return on equity in the future. It is crucial for investors and stakeholders to closely monitor the company's financial performance and management strategies to ensure sustained profitability and value creation.
Peer comparison
Dec 31, 2024