UFP Technologies Inc (UFPT)

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	58,981	54,214	49,547	47,878	44,924	41,778	49,624	46,670	41,789	36,546	20,795	16,581	15,886	16,839	16,038	13,641	13,369	14,974	17,627	19,907
Total stockholders’ equity	US$ in thousands	342,760	329,146	310,176	295,016	286,091	272,383	260,285	246,484	237,545	226,159	207,290	199,078	194,446	190,753	186,314	180,819	176,893	172,439	169,212	166,275
ROE		17.21%	16.47%	15.97%	16.23%	15.70%	15.34%	19.07%	18.93%	17.59%	16.16%	10.03%	8.33%	8.17%	8.83%	8.61%	7.54%	7.56%	8.68%	10.42%	11.97%

December 31, 2024 calculation

ROE = Net income (ttm) ÷ Total stockholders’ equity
= $58,981K ÷ $342,760K
= 17.21%

UFP Technologies Inc's return on equity (ROE) has exhibited a fluctuating trend over the past few years, with values ranging from 7.54% to 19.07%. The ROE started at 11.97% in March 2020 and declined steadily to a low of 7.54% by March 2021. Subsequently, there was a gradual recovery with ROE increasing to 17.21% by December 2024.

The significant increase in ROE from 15.34% in September 2023 to 18.93% in March 2023 followed by a peak of 19.07% in June 2023 suggests improved profitability and efficiency in the utilization of shareholder equity during that period.

Overall, the recent upward trend in ROE, reaching 17.21% by December 2024, indicates favorable performance in generating profit relative to the shareholders' equity invested in the company over the past few years. This may imply effective management of assets and debt levels, which are contributing positively to the company's profitability.