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DTC (Solo Brands) ROE % : -138.09% (As of Sep. 2024)


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What is Solo Brands ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Solo Brands's annualized net income for the quarter that ended in Sep. 2024 was $-279.5 Mil. Solo Brands's average Total Stockholders Equity over the quarter that ended in Sep. 2024 was $202.4 Mil. Therefore, Solo Brands's annualized ROE % for the quarter that ended in Sep. 2024 was -138.09%.

The historical rank and industry rank for Solo Brands's ROE % or its related term are showing as below:

DTC' s ROE % Range Over the Past 10 Years
Min: -80.4   Med: -1.37   Max: 14.04
Current: -80.4

During the past 5 years, Solo Brands's highest ROE % was 14.04%. The lowest was -80.40%. And the median was -1.37%.

DTC's ROE % is ranked worse than
96.19% of 1077 companies
in the Retail - Cyclical industry
Industry Median: 5.55 vs DTC: -80.40

Solo Brands ROE % Historical Data

The historical data trend for Solo Brands'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.

Solo Brands ROE % Chart

Solo Brands Annual Data
Trend Dec19 Dec20 Dec21 Dec22 Dec23
ROE %
-39.84 10.57 14.04 -1.37 -36.83

Solo Brands Quarterly Data
Sep19 Dec19 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
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 4.59 -164.61 -5.67 -5.24 -138.09

Competitive Comparison of Solo Brands's ROE %

For the Internet Retail subindustry, Solo Brands'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.


Solo Brands's ROE % Distribution in the Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Solo Brands's ROE % distribution charts can be found below:

* The bar in red indicates where Solo Brands's ROE % falls into.



Solo Brands ROE % Calculation

Solo Brands'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 )
=-111.347/( (363.426+241.262)/ 2 )
=-111.347/302.344
=-36.83 %

Solo Brands's annualized ROE % for the quarter that ended in Sep. 2024 is calculated as

ROE %=Net Income (Q: Sep. 2024 )/( (Total Stockholders Equity (Q: Jun. 2024 )+Total Stockholders Equity (Q: Sep. 2024 ))/ count )
=-279.456/( (236.73+168.009)/ 2 )
=-279.456/202.3695
=-138.09 %

* 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 (Sep. 2024) net income data. ROE % is displayed in the 30-year financial page.


Solo Brands  (NYSE:DTC) 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: Sep. 2024 )
=Net Income/Total Stockholders Equity
=-279.456/202.3695
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(-279.456 / 376.556)*(376.556 / 597.6135)*(597.6135 / 202.3695)
=Net Margin %*Asset Turnover*Equity Multiplier
=-74.21 %*0.6301*2.9531
=ROA %*Equity Multiplier
=-46.76 %*2.9531
=-138.09 %

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: Sep. 2024 )
=Net Income/Total Stockholders Equity
=-279.456/202.3695
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (-279.456 / -473.4) * (-473.4 / -126.672) * (-126.672 / 376.556) * (376.556 / 597.6135) * (597.6135 / 202.3695)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.5903 * 3.7372 * -33.64 % * 0.6301 * 2.9531
=-138.09 %

Note: The net income data used here is four times the quarterly (Sep. 2024) net income data. The Revenue data used here is four times the quarterly (Sep. 2024) 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.


Solo Brands ROE % Related Terms

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


Solo Brands Business Description

Traded in Other Exchanges
N/A
Address
1001 Mustang Drive, Suite 121, Grapevine, TX, USA, 76051
Solo Brands Inc is a Direct-To-Consumer (DTC) platform. It operates four premium outdoor lifestyle brands Solo Stove, Oru, ISLE, TerraFlame, IcyBreeze, and Chubbies apparel. Solo Stove offers portable, low-smoke fire pits, grills, and camping stoves for backyard and outdoor use in different sizes, fire pit bundles, gear kits, stoves, cookware, dinnerware, and a variety of clothing and accessories. Oru offers a flagship line of lightweight, foldable kayaks. ISLE produces high-quality stand-up paddle boards with colorful designs that are engineered to accommodate every skill level, style, and interest. Chubbies is a fun-loving, premium apparel brand that offers well-fitted comfortable clothing, and other brands with different services and products.
Executives
Somer Webb officer: Chief Financial Officer C/O SOLO BRANDS, INC., 1001 MUSTANG DRIVE, GRAPEVILLE TX 76051
Bertram Growth Capital Iii Annex Fund, L.p. 10 percent owner 950 TOWER LANE, SUITE 1000, FOSTER CITY CA 94404
Nb Crossroads Private Markets Fund V Holdings Lp 10 percent owner C/O NEUBERGER BERMAN INVESTMENT ADVISERS, 1290 AVENUE OF THE AMERICAS, NEW YORK NY 10104
Bertram Growth Capital Iii, L.p. 10 percent owner 800 CONCAR DRIVE, SUITE 100, SAN MATEO CA 94402
Bertram Growth Capital Iii-a, L.p. 10 percent owner 800 CONCAR DRIVE, SUITE 100, SAN MATEO CA 94402
John Merris director, officer: See Remarks C/O SOLO BRANDS, INC., 1070 S. KIMBALL AVENUE, SUITE 121, SOUTHLAKE TX 76092
Michael C. Dennison director C/O FOX FACTORY HOLDING CORP., 2055 SUGARLOAF CIRCLE, SUITE 300, DULUTH GA 30097
David Powers director 495-A SOUTH FAIRVIEW AVE, GOLETA CA 93117
Samuel Morin Simmons officer: Chief Financial Officer C/O SOLO BRANDS, INC., 1070 S. KIMBALL AVENUE, SUITE 121, SOUTHLAKE TX 76092
Kent Roger Christensen officer: General Counsel C/O SOLO BRANDS, INC., 1070 S. KIMBALL AVENUE, SUITE 121, SOUTHLAKE TX 76092
Matthew Scott Webb officer: Chief Operating Officer C/O SOLO BRANDS, INC., 1070 S. KIMBALL AVENUE, SUITE 121, SOUTHLAKE TX 76092
Summit Partners L P 10 percent owner 222 BERKELEY STREET, 18TH FLOOR, BOSTON MA 02116
Nb Select Opps Ii Mhf Lp 10 percent owner 325 N. SAINT PAUL STREET, SUITE 4900, DALLAS TX 75201
Paul Furer director C/O SOLO BRANDS, INC., 1070 S. KIMBALL AVENUE, SUITE 121, SOUTHLAKE TX 76092
William R Castillo officer: Chief Product Officer C/O SOLO BRANDS, INC., 1070 S. KIMBALL AVENUE, SUITE 121, SOUTHLAKE TX 76092