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Church & Dwight Co (Church & Dwight Co) ROE % : 15.55% (As of Dec. 2023)


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What is Church & Dwight Co ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Church & Dwight Co's annualized net income for the quarter that ended in Dec. 2023 was $615 Mil. Church & Dwight Co's average Total Stockholders Equity over the quarter that ended in Dec. 2023 was $3,953 Mil. Therefore, Church & Dwight Co's annualized ROE % for the quarter that ended in Dec. 2023 was 15.55%.

The historical rank and industry rank for Church & Dwight Co's ROE % or its related term are showing as below:

CHD' s ROE % Range Over the Past 10 Years
Min: 12.31   Med: 23.5   Max: 35.43
Current: 19.91

During the past 13 years, Church & Dwight Co's highest ROE % was 35.43%. The lowest was 12.31%. And the median was 23.50%.

CHD's ROE % is ranked better than
85.65% of 1819 companies
in the Consumer Packaged Goods industry
Industry Median: 6.38 vs CHD: 19.91

Church & Dwight Co ROE % Historical Data

The historical data trend for Church & Dwight Co's ROE % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Church & Dwight Co ROE % Chart

Church & Dwight Co Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 24.05 27.63 26.46 12.31 20.57

Church & Dwight Co Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
ROE % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -18.36 22.71 23.35 17.84 15.55

Competitive Comparison of Church & Dwight Co's ROE %

For the Household & Personal Products subindustry, Church & Dwight Co's ROE %, along with its competitors' market caps and ROE % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Church & Dwight Co's ROE % Distribution in the Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, Church & Dwight Co's ROE % distribution charts can be found below:

* The bar in red indicates where Church & Dwight Co's ROE % falls into.



Church & Dwight Co ROE % Calculation

Church & Dwight Co's annualized ROE % for the fiscal year that ended in Dec. 2023 is calculated as

ROE %=Net Income (A: Dec. 2023 )/( (Total Stockholders Equity (A: Dec. 2022 )+Total Stockholders Equity (A: Dec. 2023 ))/ count )
=755.6/( (3489.9+3855.4)/ 2 )
=755.6/3672.65
=20.57 %

Church & Dwight Co's annualized ROE % for the quarter that ended in Dec. 2023 is calculated as

ROE %=Net Income (Q: Dec. 2023 )/( (Total Stockholders Equity (Q: Sep. 2023 )+Total Stockholders Equity (Q: Dec. 2023 ))/ count )
=614.8/( (4050.5+3855.4)/ 2 )
=614.8/3952.95
=15.55 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

In the calculation of annual ROE %, the net income of the last fiscal year and the average total shareholder equity over the fiscal year are used. In calculating the quarterly data, the net income data used here is four times the quarterly (Dec. 2023) net income data. ROE % is displayed in the 30-year financial page.


Church & Dwight Co  (NYSE:CHD) ROE % Explanation

ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.

The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:

ROE %(Q: Dec. 2023 )
=Net Income/Total Stockholders Equity
=614.8/3952.95
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(614.8 / 6112)*(6112 / 8635.7)*(8635.7 / 3952.95)
=Net Margin %*Asset Turnover*Equity Multiplier
=10.06 %*0.7078*2.1846
=ROA %*Equity Multiplier
=7.12 %*2.1846
=15.55 %

With this breakdown, it is clear that if a company grows its Net Profit Margin, its Asset Turnover, or its Leverage, it can grow its ROE %.

The factors that affect a company's ROE % can also be illustrated with the five-step DuPont Analysis:

ROE %(Q: Dec. 2023 )
=Net Income/Total Stockholders Equity
=614.8/3952.95
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (614.8 / 780.8) * (780.8 / 864.4) * (864.4 / 6112) * (6112 / 8635.7) * (8635.7 / 3952.95)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.7874 * 0.9033 * 14.14 % * 0.7078 * 2.1846
=15.55 %

Note: The net income data used here is four times the quarterly (Dec. 2023) net income data. The Revenue data used here is four times the quarterly (Dec. 2023) revenue data. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Be Aware

Net Income is used.

Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.

Asset light businesses require very few assets to generate very high earnings. Their ROE %s can be extremely high.


Church & Dwight Co ROE % Related Terms

Thank you for viewing the detailed overview of Church & Dwight Co's ROE % provided by GuruFocus.com. Please click on the following links to see related term pages.


Church & Dwight Co (Church & Dwight Co) Business Description

Traded in Other Exchanges
Address
500 Charles Ewing Boulevard, Ewing, NJ, USA, 08628
Church & Dwight is the leading global producer of baking soda. Beyond baking soda, the products in its portfolio have vast category reach, including laundry products, cat litter, oral care, deodorant, and nasal care, all sold under the Arm & Hammer brand. Its mix also includes Xtra, Trojan, OxiClean, First Response, Nair, L'il Critters/Vitafusion, Orajel, and WaterPik, which together with Arm & Hammer constitute more than 80% of its annual sales and profits. In early 2019, the firm announced the addition of Flawless, which manufactures electric shaving products for women. At the end of 2020, the firm acquired Zicam, a leading brand in the cough/cold-shortening category. Church & Dwight derives more than 80% of its sales from its home market in the U.S.
Executives
Michael Read officer: EVP, International 500 CHARLES EWING BLVD, EWING NJ 08628
Matthew Farrell officer: Vice President Finance and CFO
Richard A Dierker officer: E.V.P. Finance & C.F.O. 500 CHARLES EWING BLVD, EWING NJ 08628
Rene Hemsey officer: E.V.P. HR 500 CHARLES EWING BLVD, EWING NJ 08628
Bradley C Irwin director 469 NORTH HARRISON STREET, PRINCETON NJ 08543
De Maynadier Patrick D officer: EVP, Gen. Counsel & Secretary
Carlen Hooker officer: EVP, Chief Commercial Officer 500 CHARLES EWING BLVD, EWING NJ 08628
Ravichandra Krishnamurty Saligram director C/O NEWELL BRANDS INC., 6655 PEACHTREE DUNWOODY ROAD, ATLANTA GA 30328
Paul Richard Wood officer: EVP, Sales 500 CHARLES EWING BLVD, EWING NJ 08628
Brian D Buchert officer: EVP of Strategy, M&A, and BP 500 CHARLES EWING BLVD, EWING NJ 08628
Barry A. Bruno officer: EVP, International 500 CHARLES EWING BLVD, EWING NJ 08628
James Craigie director, officer: President, Chief Executive Off 500 CHARLES EWING BLVD, EWING NJ 08628
Arthur B Winkleblack director
Brad Cashaw director 2711 NORTH HASKELL AVENUE, SUITE 3400, DALLAS TX 75204
Robert K Shearer director 400 NORTH ELM STREET, GREENSBORO NC 27403