Sandisk Corp (SNDK)

Return on equity (ROE)

Jun 30, 2025 Mar 31, 2025 Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 Dec 31, 2023 Sep 30, 2023 Mar 31, 2016 Dec 31, 2015 Sep 30, 2015 Jun 30, 2015 Mar 31, 2015 Dec 31, 2014 Sep 30, 2014 Jun 30, 2014 Mar 31, 2014 Dec 31, 2013 Sep 30, 2013 Jun 30, 2013
Net income (ttm) US$ in thousands -1,641,000 -1,498,000 462,000 57,000 -672,000 -713,647 -605,178 -171,167 427,806 388,478 454,900 584,550 777,523 1,007,446 1,143,335 1,157,533 1,145,376 1,042,657 918,420 718,068
Total stockholders’ equity US$ in thousands 9,216,000 9,161,000 12,001,000 12,126,000 11,082,000 — — 11,439,000 5,330,080 5,738,920 5,634,080 5,621,980 5,953,460 6,655,200 7,064,710 7,302,100 7,232,260 6,967,870 6,605,540 7,347,840
ROE -17.81% -16.35% 3.85% 0.47% -6.06% — — -1.50% 8.03% 6.77% 8.07% 10.40% 13.06% 15.14% 16.18% 15.85% 15.84% 14.96% 13.90% 9.77%

June 30, 2025 calculation

ROE = Net income (ttm) ÷ Total stockholders’ equity
= $-1,641,000K ÷ $9,216,000K
= -17.81%

The analysis of Sandisk Corp's return on equity (ROE) over the indicated period reveals notable fluctuations that reflect varying levels of profitability and efficiency in generating shareholder value. From June 30, 2013, to September 30, 2014, the company's ROE exhibited a consistent upward trend, culminating at 16.18%, indicating improved profitability and effective utilization of equity during this period. This rise suggests that Sandisk managed to enhance its net income relative to shareholder equity, likely driven by favorable market conditions or operational efficiencies.

Following this peak, a gradual decline commenced, with ROE decreasing to 6.77% by December 31, 2015. This downward trajectory underscores a reduction in profitability or a possible dilution of earnings relative to equity, which could be attributed to competitive pressures, increased costs, or strategic shifts.

Subsequently, from 2016 onward, the ROE exhibited considerable volatility and a general downward trend. Notably, the data from September 30, 2023, onward indicate a shift into negative territory, with ROE reaching -1.50% as of September 2023, and further declines projected into 2025, including a low of -17.81% on June 30, 2025. These declines reflect periods where net income was negative or insufficient to compensate for shareholders' equity, indicating operational or market challenges adversely impacting profitability.

The significant negative values in recent periods suggest that the company faced substantial headwinds, potentially including market competition, technological shifts, or financial challenges. The fluctuating nature of ROE in the initial years contrasts sharply with the persistent negative trends in the recent years, highlighting a marked deterioration in the company's ability to generate returns on shareholders' equity.