Ziff Davis Inc (ZD)
Return on equity (ROE)
| 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 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | 41,503 | 45,552 | 94,708 | 31,593 | 63,757 | 356,792 | 381,176 | 443,329 | 496,714 | 194,296 | 212,610 | 234,994 | 150,668 | 215,603 | 185,465 | 179,953 | 218,806 | 146,397 | 146,375 | 142,265 |
| Total stockholders’ equity | US$ in thousands | 1,893,000 | 1,804,140 | 1,862,680 | 1,894,620 | 1,892,610 | 1,793,640 | 1,794,200 | 1,865,490 | 1,967,730 | 1,369,260 | 1,294,500 | 1,274,910 | 1,211,020 | 1,176,340 | 1,263,170 | 1,241,080 | 1,311,190 | 1,084,370 | 1,072,100 | 1,056,650 |
| ROE | 2.19% | 2.52% | 5.08% | 1.67% | 3.37% | 19.89% | 21.24% | 23.76% | 25.24% | 14.19% | 16.42% | 18.43% | 12.44% | 18.33% | 14.68% | 14.50% | 16.69% | 13.50% | 13.65% | 13.46% |
December 31, 2023 calculation
ROE = Net income (ttm) ÷ Total stockholders’ equity
= $41,503K ÷ $1,893,000K
= 2.19%
To analyze Ziff Davis Inc's return on equity (ROE) based on the provided data from Q1 2022 to Q4 2023, we observe fluctuations in the ROE over the periods.
It is evident that the ROE has been on a declining trend, from a peak of 23.75% in Q1 2022 to a low of 1.67% in Q1 2023. This downward trajectory suggests potential challenges in generating profits relative to shareholders' equity. The significant drop from 21.23% in Q2 2022 to 3.37% in Q4 2022 also indicates volatility in the company's profitability.
The ROE saw a slight improvement in Q2 2023 at 5.08%, before decreasing again in the subsequent quarters. The latest ROE of 2.19% in Q4 2023 implies that the company's ability to generate returns for shareholders remains subdued.
Overall, the declining ROE raises concerns about the company's efficiency in utilizing equity to generate profits. Further investigation into the factors influencing this trend, such as profitability, asset management, and leverage, would be essential to assess Ziff Davis Inc's financial performance accurately.