K Wave Media Ltd. Warrant(Kwmww) Financials: Return On Equity Compared To Industry Average, Plus Other Key Ratios

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operating roa return on assets return on capital employed return on equity

Profitability Trend (Last 5 Years)

Profitability - return on equity

This chart shows the historical trend of return on equity for KWMWW 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 '2023', KWMWW's return on equity was -148.6%, measuring profitability for shareholders. Industry average for Movies/Entertainment in '2023' stood at -43.8%.
• In '2024', KWMWW's return on equity was -571.8%, measuring profitability for shareholders. The decline from '2023' may indicate some operational or financial challenges. Industry average for Movies/Entertainment in '2024' stood at -136.5%. Industry average declined by 92.7% from previous year.
Overall, KWMWW's return on equity has been volatile but showed a downward trend over the past 2 years.

Formula: ROE = Net Income / Shareholders' Equity

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