TE Connectivity Ltd (TEL)
Return on equity (ROE)
| 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 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | 3,193,000 | 3,469,000 | 3,424,000 | 3,316,000 | 1,910,000 | 2,066,000 | 2,132,000 | 2,259,000 | 2,428,000 | 2,514,000 | 2,500,000 | 2,446,000 | 2,261,000 | 1,697,000 | 1,076,000 | 114,000 | -241,000 | -99,000 | 699,000 | 1,594,000 |
| Total stockholders’ equity | US$ in thousands | 12,486,000 | 12,755,000 | 12,449,000 | 13,136,000 | 11,551,000 | 11,456,000 | 11,126,000 | 11,468,000 | 10,897,000 | 10,537,000 | 10,549,000 | 11,128,000 | 10,748,000 | 10,162,000 | 9,783,000 | 9,979,000 | 9,495,000 | 9,036,000 | 9,066,000 | 10,557,000 |
| ROE | 25.57% | 27.20% | 27.50% | 25.24% | 16.54% | 18.03% | 19.16% | 19.70% | 22.28% | 23.86% | 23.70% | 21.98% | 21.04% | 16.70% | 11.00% | 1.14% | -2.54% | -1.10% | 7.71% | 15.10% |
September 30, 2024 calculation
ROE = Net income (ttm) ÷ Total stockholders’ equity
= $3,193,000K ÷ $12,486,000K
= 25.57%
TE Connectivity Ltd's return on equity (ROE) has shown a fluctuating trend over the past few years. The ROE ranged from a low of -2.54% in December 2019 to a high of 27.50% in March 2024. The company's ROE improved significantly from 2020 onwards, with double-digit percentages recorded consistently in the recent quarters.
The increase in ROE indicates that TE Connectivity has been effectively utilizing its shareholders' equity to generate profits. This could be attributed to factors such as efficient cost management, increased revenue generation, or a focus on improving profitability.
However, it is important to note the significant volatility in the ROE figures, with fluctuations observed from quarter to quarter. This may indicate that the company's performance is sensitive to various internal and external factors, and there may be areas where TE Connectivity could further optimize its operations to enhance ROE stability.
Overall, TE Connectivity's improving ROE trend suggests that the company has been successful in generating favorable returns for its shareholders in recent periods. Monitoring future ROE figures will be crucial to assess the sustainability of this performance and to identify any trends or areas of concern.
Peer comparison
Sep 30, 2024