Sensient Technologies Corporation (SXT)

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 124,666 88,729 87,582 90,683 93,394 128,348 132,853 137,467 140,887 138,995 136,859 124,148 118,745 116,685 115,683 120,367 109,472 67,341 66,302 70,013
Total stockholders’ equity US$ in thousands 1,060,990 1,080,450 1,057,780 1,063,940 1,053,320 1,057,660 1,054,260 1,028,220 999,598 954,514 958,967 961,710 938,425 939,392 944,277 925,646 934,336 896,785 860,716 842,658
ROE 11.75% 8.21% 8.28% 8.52% 8.87% 12.14% 12.60% 13.37% 14.09% 14.56% 14.27% 12.91% 12.65% 12.42% 12.25% 13.00% 11.72% 7.51% 7.70% 8.31%

December 31, 2024 calculation

ROE = Net income (ttm) ÷ Total stockholders’ equity
= $124,666K ÷ $1,060,990K
= 11.75%

Sensient Technologies Corporation's return on equity (ROE) has shown fluctuations over the analyzed period. The ROE increased from 8.31% as of March 31, 2020, to a peak of 14.56% as of September 30, 2022, before experiencing a slight decline.

Overall, Sensient Technologies' ROE has generally remained above 10% throughout the period, indicating that the company has been generating a healthy return on shareholders' equity. The ROE peaked in the second quarter of 2022, suggesting that the company was efficiently utilizing its equity to generate profits during that period.

However, the ROE experienced a decline in the second half of 2023 and reached 8.21% as of September 30, 2024, before showing a slight recovery to 11.75% by the end of December 31, 2024. This decline could imply potential challenges in the company's profitability or efficiency in utilizing shareholders' equity during that period.

In conclusion, Sensient Technologies Corporation's ROE performance has been relatively positive, with some fluctuations observed. Investors and analysts may want to further investigate the factors contributing to the variations in ROE to assess the company's overall financial health and performance.