Teleflex Incorporated (TFX)

Return on equity (ROE)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Net income	US$ in thousands	356,328	363,139	485,374	335,324	461,466
Total stockholders’ equity	US$ in thousands	4,440,990	4,021,970	3,754,750	3,336,460	2,979,320
ROE		8.02%	9.03%	12.93%	10.05%	15.49%

December 31, 2023 calculation

ROE = Net income ÷ Total stockholders’ equity
= $356,328K ÷ $4,440,990K
= 8.02%

Teleflex Incorporated's return on equity (ROE) has shown a declining trend over the past five years. In 2019, the ROE was relatively high at 15.49%, indicating that the company generated $15.49 in profit for every dollar of equity. However, this ratio decreased to 10.05% in 2020, showing a decline in profitability efficiency.

In 2021, there was a further decrease in ROE to 12.93%, suggesting that the company's ability to generate profits from shareholders' equity continued to weaken. By 2022, the ROE declined to 9.03%, signaling a sustained downward trend in profitability relative to equity.

As of December 31, 2023, the ROE stands at 8.02%, reflecting a continued decrease in the company's ability to generate returns for its shareholders. This declining ROE trend may indicate challenges in the company's profitability, asset utilization, or financial leverage. Further analysis of the components comprising the ROE, such as net profit margin, asset turnover, and financial leverage, would provide more insights into Teleflex Incorporated's performance and help identify areas for improvement.