Sonoco Products Company (SON)
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 | 163,949 | 288,151 | 367,979 | 391,817 | 474,959 | 490,920 | 482,400 | 499,423 | 466,437 | 434,391 | 423,302 | -42,440 | -85,476 | -162,275 | -189,966 | 199,315 | 207,463 | 264,004 | 272,619 | 298,567 |
| Total stockholders’ equity | US$ in thousands | 2,286,210 | 2,478,940 | 2,434,640 | 2,427,480 | 2,431,840 | 2,339,160 | 2,299,320 | 2,205,560 | 2,072,800 | 1,935,080 | 1,929,680 | 1,918,930 | 1,849,540 | 1,860,730 | 1,822,430 | 1,912,800 | 1,910,530 | 1,881,330 | 1,807,700 | 1,755,440 |
| ROE | 7.17% | 11.62% | 15.11% | 16.14% | 19.53% | 20.99% | 20.98% | 22.64% | 22.50% | 22.45% | 21.94% | -2.21% | -4.62% | -8.72% | -10.42% | 10.42% | 10.86% | 14.03% | 15.08% | 17.01% |
December 31, 2024 calculation
ROE = Net income (ttm) ÷ Total stockholders’ equity
= $163,949K ÷ $2,286,210K
= 7.17%
Sonoco Products Company's Return on Equity (ROE) shows fluctuations over the periods presented.
From March 31, 2020, to December 31, 2020, ROE declined from 17.01% to 10.86%, indicating a decrease in the company's profitability relative to shareholders' equity.
Subsequently, a notable decline is observed, with negative ROE figures reported in the second half of 2021, implying the company's net income was insufficient to cover its shareholders' equity.
However, a positive turnaround is observed from June 30, 2022, where a significant increase in ROE is noted, reaching levels above 20%. This improvement continues through December 31, 2023, showing the company's enhanced profitability and more efficient utilization of equity.
By March 31, 2024, ROE decreases to 16.14%, followed by a further decline to 7.17% by December 31, 2024, indicating a decrease in profitability relative to the equity base.
Overall, while Sonoco Products Company experienced fluctuations in ROE over the analyzed period, the recent positive trend suggests an improvement in the company's profitability and efficiency in generating returns for shareholders.
Peer comparison
Dec 31, 2024