SolarWinds Corp (SWI)
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 | 111,903 | 38,657 | 22,915 | 12,071 | -9,109 | -18,944 | -307,991 | -930,375 | -929,413 | -942,647 | -659,407 | -48,907 | -51,408 | 104,950 | 126,431 | 150,900 | 158,475 | 38,985 | 30,876 | 15,912 |
| Total stockholders’ equity | US$ in thousands | 1,400,710 | 1,364,360 | 1,305,310 | 1,285,120 | 1,442,040 | 1,394,950 | 1,398,660 | 1,385,800 | 1,369,650 | 1,300,460 | 1,617,810 | 2,277,380 | 2,287,900 | 2,322,500 | 2,971,710 | 2,950,170 | 3,010,690 | 2,782,430 | 2,685,710 | 2,632,360 |
| ROE | 7.99% | 2.83% | 1.76% | 0.94% | -0.63% | -1.36% | -22.02% | -67.14% | -67.86% | -72.49% | -40.76% | -2.15% | -2.25% | 4.52% | 4.25% | 5.11% | 5.26% | 1.40% | 1.15% | 0.60% |
December 31, 2024 calculation
ROE = Net income (ttm) ÷ Total stockholders’ equity
= $111,903K ÷ $1,400,710K
= 7.99%
SolarWinds Corp's return on equity (ROE) has shown fluctuations over the period from March 31, 2020, to December 31, 2024. The ROE started at a relatively low level of 0.60% in March 2020, gradually increasing to 5.26% by December 2020. However, there was a dip in ROE to -2.25% by the end of December 2021.
The negative trend continued throughout 2022 and 2023, with ROE values persistently below zero and reaching as low as -72.49% in September 2022. The company experienced significant challenges during this period, reflected in the deteriorating ROE.
From March 31, 2024, the ROE started to improve, turning positive again at 0.94% and steadily increasing to 7.99% by the end of December 2024. This upward trend indicates a recovery in the company's profitability and efficiency in generating returns for its shareholders.
Overall, the analysis of SolarWinds Corp's ROE over the specified period highlights both periods of strong performance and challenges, with the company showing resilience and the ability to recover from setbacks to deliver positive returns for its equity holders.
Peer comparison
Dec 31, 2024