Worthington Industries Inc (WOR)
Return on equity (ROE)
| May 31, 2025 | Feb 28, 2025 | Nov 30, 2024 | Aug 31, 2024 | May 31, 2024 | Feb 29, 2024 | Nov 30, 2023 | Aug 31, 2023 | May 31, 2023 | Feb 28, 2023 | Nov 30, 2022 | Aug 31, 2022 | May 31, 2022 | Feb 28, 2022 | Nov 30, 2021 | Aug 31, 2021 | May 31, 2021 | Feb 28, 2021 | Nov 30, 2020 | Aug 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | 96,053 | 60,390 | 42,727 | 38,769 | 110,622 | 272,311 | 296,636 | 288,552 | 256,528 | 206,877 | 216,894 | 310,977 | 379,386 | 412,689 | 423,956 | 239,611 | 723,795 | 626,415 | 574,117 | 700,247 |
| Total stockholders’ equity | US$ in thousands | 938,237 | 938,521 | 912,958 | 901,353 | 888,879 | 912,096 | 1,792,810 | 1,774,620 | 1,696,010 | 1,585,430 | 1,513,390 | 1,512,600 | 1,480,750 | 1,451,370 | 1,479,800 | 1,453,340 | 1,398,190 | 1,311,790 | 1,276,900 | 1,382,780 |
| ROE | 10.24% | 6.43% | 4.68% | 4.30% | 12.45% | 29.86% | 16.55% | 16.26% | 15.13% | 13.05% | 14.33% | 20.56% | 25.62% | 28.43% | 28.65% | 16.49% | 51.77% | 47.75% | 44.96% | 50.64% |
May 31, 2025 calculation
ROE = Net income (ttm) ÷ Total stockholders’ equity
= $96,053K ÷ $938,237K
= 10.24%
Based on the provided data, the return on equity (ROE) for Worthington Industries Inc. has exhibited significant fluctuations over the observed period. In the fiscal year ending August 31, 2020, the ROE was notably high at approximately 50.64%, indicating strong profitability relative to shareholders' equity during that period. This elevated ROE was followed by a decline to 44.96% by November 30, 2020, and a slight increase to 47.75% by February 28, 2021, suggesting some stability in profitability margins.
Subsequently, the ROE increased again to 51.77% as of May 31, 2021, before experiencing a sharp decline to 16.49% by August 31, 2021. This substantial decrease indicates a period of reduced profitability or changes in capital structure. The subsequent quarters saw some recovery, with ROE values of 28.65% in November 2021, 28.43% in February 2022, and 25.62% in May 2022, before further decreasing to 20.56% in August 2022 and down to 14.33% by November 2022, reflecting a downward trend in profitability.
The decline persisted into early 2023, with ROE reaching approximately 13.05% in February and slightly rising to 15.13% in May 2023, then marginally increasing to 16.26% in August and 16.55% in November 2023. However, there is a notable spike to 29.86% as of February 29, 2024, which suggests a transient improvement in profitability or capital efficiency during that quarter. Following this peak, the ROE declined sharply to 12.45% in May 2024, then further to 4.30% in August 2024, and remained low at 4.68% by November 2024. The trend continued downward with ROE values of 6.43% in February 2025 and 10.24% in May 2025.
Overall, the data indicate that Worthington Industries experienced periods of high profitability in 2020 and early 2021, followed by a prolonged decline in ROE throughout 2022 and 2023, with intermittent brief recoveries. The recent figures point to a challenging profitability environment, with ROE significantly below historical peaks, signaling potential issues with operational efficiency, market conditions, or capital management strategies during this period.
Peer comparison
May 31, 2025