Gp-Act Iii Acquisition Warrants(Gpatw) Financials: Return On Equity Compared To Industry Average, Plus Other Key Ratios
Profitability Trend (Last 5 Years)
Profitability - return on equity
This chart shows the historical trend of return on equity for GPATW compared to its industry average over the recent years.
Ratio Definition and Interpretation
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 '2022', GPATW's return on equity was 36.8%, measuring profitability for shareholders. Industry average for nan in '2022' stood at 12.8%.
• In '2023', GPATW's return on equity was 15.4%, measuring profitability for shareholders. The decline from '2022' may indicate some operational or financial challenges. Industry average for nan in '2023' stood at 26.9%. Industry average increased by 14.1% compared to previous year.
• In '2024', GPATW's return on equity was 6.1%, measuring profitability for shareholders. The decline from '2023' may indicate some operational or financial challenges. Industry average for nan in '2024' stood at -20.5%. Industry average declined by 47.4% from previous year.
Overall, GPATW's return on equity has been volatile but showed a downward trend over the past 3 years.
Formula: ROE = Net Income / Shareholders' Equity
Good Range: 10%-20% desirable for many industries.