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', EPRX's return on equity was -112.8%, measuring profitability for shareholders. Industry average for Pharmaceuticals and Biotechnology in '2021' stood at -48.9%.
• In '2022', EPRX's return on equity was -155.5%, measuring profitability for shareholders. The decline from '2021' may indicate some operational or financial challenges. Industry average for Pharmaceuticals and Biotechnology in '2022' stood at -70.7%. Industry average declined by 21.8% from previous year.
• In '2023', EPRX's return on equity was -564.3%, measuring profitability for shareholders. The decline from '2022' may indicate some operational or financial challenges. Industry average for Pharmaceuticals and Biotechnology in '2023' stood at -288.3%. Industry average declined by 217.5% from previous year.
• In '2024', EPRX's return on equity was -143.2%, measuring profitability for shareholders. The increase since '2023' reflects strengthening financial performance. Industry average for Pharmaceuticals and Biotechnology in '2024' stood at -79.0%. Industry average increased by 209.3% compared to previous year.
Overall, EPRX's return on equity has been volatile but showed a downward trend over the past 4 years.

Formula: ROE = Net Income / Shareholders' Equity

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