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', SWBI's return on equity was 94.6%, measuring profitability for shareholders. Industry average for Ordnance And Accessories in '2021' stood at 10.0%.
• In '2022', SWBI's return on equity was 62.1%, measuring profitability for shareholders. The decline from '2021' may indicate some operational or financial challenges. Industry average for Ordnance And Accessories in '2022' stood at 11.4%. Industry average increased by 1.4% compared to previous year.
• In '2023', SWBI's return on equity was 9.9%, measuring profitability for shareholders. The decline from '2022' may indicate some operational or financial challenges. Industry average for Ordnance And Accessories in '2023' stood at -22.2%. Industry average declined by 33.7% from previous year.
• In '2024', SWBI's return on equity was 10.1%, measuring profitability for shareholders. The increase since '2023' reflects strengthening financial performance. Industry average for Ordnance And Accessories in '2024' stood at -43.2%. Industry average declined by 21.0% from previous year.
Overall, SWBI'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.