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', PPIH's return on equity was 11.1%, measuring profitability for shareholders. Industry average for Pollution Control Equipment in '2022' stood at 11.4%.
• In '2023', PPIH's return on equity was 10.6%, measuring profitability for shareholders. The decline from '2022' may indicate some operational or financial challenges. Industry average for Pollution Control Equipment in '2023' stood at 10.5%. Industry average declined by 0.9% from previous year.
• In '2024', PPIH's return on equity was 17.0%, measuring profitability for shareholders. The increase since '2023' reflects strengthening financial performance. Industry average for Pollution Control Equipment in '2024' stood at 11.8%. Industry average increased by 1.3% compared to previous year.
• In '2025', PPIH's return on equity was 13.0%, measuring profitability for shareholders. The decline from '2024' may indicate some operational or financial challenges. Industry average for Pollution Control Equipment in '2025' stood at 13.0%. Industry average increased by 1.2% compared to previous year.
Overall, PPIH's return on equity has been volatile but generally stable over the past 4 years.

Formula: ROE = Net Income / Shareholders' Equity

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