Logprostyle Common Shares(Lgps) 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 LGPS 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', LGPS's return on equity was 30.1%, measuring profitability for shareholders. Industry average for Homebuilding in '2023' stood at 73.8%.
• In '2024', LGPS's return on equity was 22.0%, measuring profitability for shareholders. The decline from '2023' may indicate some operational or financial challenges. Industry average for Homebuilding in '2024' stood at 30.8%. Industry average declined by 43.0% from previous year.
Overall, LGPS's return on equity has consistently declined during the past 2 years.
Formula: ROE = Net Income / Shareholders' Equity
Good Range: 10%-20% desirable for many industries.