Name: Return on Equity (ROE)

Definition: ROE shows how much profit the company earns for its shareholders based on their invested equity. It’s one of the most watched profitability ratios. A consistently high ROE signals strong management and efficient use of shareholder capital. But artificially high ROE may sometimes be boosted by excessive debt.

Interpretation:
• In '2021', AS's return on equity was -332.4%, measuring profitability for shareholders. Industry average for Apparel in '2021' stood at -7.4%.
• In '2022', AS's return on equity was 1407.8%, measuring profitability for shareholders. The increase since '2021' reflects strengthening financial performance. Industry average for Apparel in '2022' stood at 6.0%. Industry average increased by 13.4% compared to previous year.
• In '2023', AS's return on equity was 178.2%, measuring profitability for shareholders. The decline from '2022' may indicate some operational or financial challenges. Industry average for Apparel in '2023' stood at 10.6%. Industry average increased by 4.6% compared to previous year.
• In '2024', AS's return on equity was 3.0%, measuring profitability for shareholders. The decline from '2023' may indicate some operational or financial challenges. Industry average for Apparel in '2024' stood at 8.9%. Industry average declined by 1.7% from previous year.
Overall, AS's return on equity has been volatile but showed an upward trend over the past 4 years.

Formula: ROE = Net Income / Shareholders' Equity

Good Range: 10%-20% desirable for many industries.