Stock Analysis on Net

RH (NYSE:RH)

$22.49

This company has been moved to the archive! The financial data has not been updated since May 26, 2023.

Adjusted Financial Ratios

Microsoft Excel

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Adjusted Financial Ratios (Summary)

RH, adjusted financial ratios

Microsoft Excel
Jan 28, 2023 Jan 29, 2022 Jan 30, 2021 Feb 1, 2020 Feb 2, 2019 Feb 3, 2018
Activity Ratio
Total Asset Turnover
Reported
Adjusted
Liquidity Ratio
Current Ratio
Reported
Adjusted
Solvency Ratios
Debt to Equity
Reported
Adjusted
Debt to Capital
Reported
Adjusted
Financial Leverage
Reported
Adjusted
Profitability Ratios
Net Profit Margin
Reported
Adjusted
Return on Equity (ROE)
Reported
Adjusted
Return on Assets (ROA)
Reported
Adjusted

Based on: 10-K (reporting date: 2023-01-28), 10-K (reporting date: 2022-01-29), 10-K (reporting date: 2021-01-30), 10-K (reporting date: 2020-02-01), 10-K (reporting date: 2019-02-02), 10-K (reporting date: 2018-02-03).


Total Asset Turnover
The reported total asset turnover ratio exhibits a declining trend over the observed periods, decreasing steadily from 1.41 in 2018 to 0.68 in both 2022 and 2023. The adjusted total asset turnover ratio follows a similar pattern, starting at 1.17 in 2018, remaining stable until 2019, then gradually falling to 0.7 by 2023. This downward trend suggests diminishing efficiency in asset utilization to generate revenues.
Current Ratio
The reported and adjusted current ratios demonstrate volatility with an initial decline from 1.24 in 2018 to a low of 0.61 in 2020. From 2020 onwards, both ratios sharply increase, reaching peaks of 2.91 in 2022 and slightly decreasing to 2.84 in 2023. This pattern indicates fluctuating short-term liquidity, improving substantially after 2020, which may reflect changes in working capital management or liquidity strategy.
Debt to Equity Ratio
The reported debt to equity ratio data begins in 2020 at an extremely high value of 71.17, which then sharply declines to approximately 2.41 in 2022 but rises again to 4.03 in 2023. Adjusted figures show a similar pattern with more moderate values, starting at 4.06 in 2020, decreasing to 3.07 in 2022, and increasing to 5.98 by 2023. This indicates a significant fluctuation in the company's leverage position, with high leverage in some years followed by attempts to reduce it, though leverage re-escalates in the latest year.
Debt to Capital Ratio
Both reported and adjusted debt to capital ratios remain consistently high across the years, near or above 0.7, reflecting that a large portion of the company's capital structure is composed of debt. Adjusted ratios are slightly higher than reported figures, increasing from just above 1.0 initially to 0.86 in 2023, indicating sustained use of debt financing with minor fluctuations.
Financial Leverage
Financial leverage shows extremely high reported values in 2020 (131.13), which decrease substantially to around 4.73 and 6.77 in subsequent years. Adjusted financial leverage follows the reported trend more moderately, with values from 7.12 in 2021 to 8.2 in 2023. The substantial spike in 2020 suggests unusual financial structuring or extraordinary items, with normalization afterward but still maintaining elevated leverage levels.
Net Profit Margin
Both reported and adjusted net profit margins display a positive and generally increasing trajectory from 2018 through 2022, peaking around 18% in 2022. However, there is a noticeable decline in 2023, with reported margins reducing to 14.72% and adjusted margins to 12.11%. The overall pattern reflects improving profitability with a recent softening in margin performance.
Return on Equity (ROE)
ROE data, available from 2020, exhibits extremely high reported values initially (over 1100%), which then sharply drop and stabilize between approximately 58% and 69% in the following years. Adjusted ROE figures present a more moderate and stable pattern between 60% and 69%. The initial spike may be attributed to non-recurring effects or low equity bases, while sustained elevated ROE values suggest strong shareholder returns in subsequent years.
Return on Assets (ROA)
Reported ROA increases consistently from 0.13% in 2018 to about 12.43% in 2022, before declining to 9.96% in 2023. Adjusted ROA follows a similar trend but with slightly lower figures, rising to 12.36% in 2022 and then dropping to 8.45% in 2023. This trend indicates improving asset efficiency and profitability until 2022, with a slight retreat in the latest period.

RH, Financial Ratios: Reported vs. Adjusted


Adjusted Total Asset Turnover

Microsoft Excel
Jan 28, 2023 Jan 29, 2022 Jan 30, 2021 Feb 1, 2020 Feb 2, 2019 Feb 3, 2018
Reported
Selected Financial Data (US$ in thousands)
Net revenues
Total assets
Activity Ratio
Total asset turnover1
Adjusted
Selected Financial Data (US$ in thousands)
Net revenues
Adjusted total assets2
Activity Ratio
Adjusted total asset turnover3

Based on: 10-K (reporting date: 2023-01-28), 10-K (reporting date: 2022-01-29), 10-K (reporting date: 2021-01-30), 10-K (reporting date: 2020-02-01), 10-K (reporting date: 2019-02-02), 10-K (reporting date: 2018-02-03).

1 2023 Calculation
Total asset turnover = Net revenues ÷ Total assets
= ÷ =

2 Adjusted total assets. See details »

3 2023 Calculation
Adjusted total asset turnover = Net revenues ÷ Adjusted total assets
= ÷ =


Net Revenues
Net revenues demonstrated a generally increasing trend from 2018 to 2022, rising from approximately 2.44 billion to 3.76 billion US dollars. In 2023, there was a decline to about 3.59 billion US dollars, indicating a possible revenue contraction after several years of growth.
Total Assets
Total assets showed a steady increase throughout the period, nearly tripling between 2018 and 2022 from roughly 1.73 billion to 5.54 billion US dollars. A slight decrease occurred in 2023, with total assets valued at approximately 5.31 billion US dollars.
Reported Total Asset Turnover
The reported total asset turnover ratio declined noticeably over the years, falling from 1.41 in 2018 to 0.68 in both 2022 and 2023. This trend indicates reduced efficiency in generating revenues from the asset base over time, with a sharp decline starting around 2020 continuing to persist through the latest year.
Adjusted Total Assets
Adjusted total assets followed a similar trajectory to total assets, increasing significantly from about 2.09 billion in 2018 to 5.49 billion in 2022, before falling somewhat to approximately 5.15 billion in 2023. This pattern aligns closely with the movements in reported total assets.
Adjusted Total Asset Turnover
The adjusted total asset turnover ratio also exhibited a downward trend, decreasing from 1.17 in 2018 and 2019 to 0.7 in 2023. The ratio remained relatively stable through 2019 and 2020 but then progressively declined, paralleling the trend seen in reported turnover ratios, reflecting a diminishing ability to generate sales relative to adjusted asset values.

Adjusted Current Ratio

Microsoft Excel
Jan 28, 2023 Jan 29, 2022 Jan 30, 2021 Feb 1, 2020 Feb 2, 2019 Feb 3, 2018
Reported
Selected Financial Data (US$ in thousands)
Current assets
Current liabilities
Liquidity Ratio
Current ratio1
Adjusted
Selected Financial Data (US$ in thousands)
Adjusted current assets2
Current liabilities
Liquidity Ratio
Adjusted current ratio3

Based on: 10-K (reporting date: 2023-01-28), 10-K (reporting date: 2022-01-29), 10-K (reporting date: 2021-01-30), 10-K (reporting date: 2020-02-01), 10-K (reporting date: 2019-02-02), 10-K (reporting date: 2018-02-03).

1 2023 Calculation
Current ratio = Current assets ÷ Current liabilities
= ÷ =

2 Adjusted current assets. See details »

3 2023 Calculation
Adjusted current ratio = Adjusted current assets ÷ Current liabilities
= ÷ =


Current Assets
The current assets exhibit a fluctuating trend over the observed periods. Starting at 644,930 thousand US dollars in early 2018, there was a moderate increase in 2019 to 682,693 thousand, followed by a decline in 2020 to 596,952 thousand. A subsequent rise occurred in 2021, reaching 801,484 thousand. Notably, in 2022, current assets surged significantly to 3,091,442 thousand, before slightly decreasing to 2,512,664 thousand in 2023. This sharp increase in 2022 suggests a substantial accumulation of short-term resources during that period, with a slight normalization in the following year.
Current Liabilities
Current liabilities show an overall increasing trend from 2018 through 2022, moving from 519,335 thousand US dollars to a peak of 1,063,758 thousand in 2022. There is a slight reduction in 2023 to 885,973 thousand. The continuous rise in liabilities up to 2022 indicates growing short-term financial obligations, with a modest decrease in the final year suggesting some improvement in managing these obligations.
Reported Current Ratio
The reported current ratio, which measures short-term liquidity, decreases from 1.24 in 2018 to 0.61 in 2020, indicating deteriorating liquidity during this period. It slightly recovers in 2021 to 0.87, then experiences a marked increase to 2.91 in 2022, maintaining a similar level at 2.84 in 2023. The sharp improvement in 2022 aligns with the significant rise in current assets relative to current liabilities, reflecting enhanced short-term financial stability.
Adjusted Current Assets
The adjusted current assets follow a trajectory nearly identical to the reported current assets, with values marginally higher but exhibiting the same trend pattern. This reinforces the observations regarding asset fluctuations without significant adjustments impacting liquidity assessment.
Adjusted Current Ratio
The adjusted current ratio mirrors the pattern observed in the reported current ratio, confirming the substantial liquidity improvement in 2022 and stable maintenance in 2023 following previous years of weaker liquidity. The close alignment of adjusted and reported ratios suggests consistency in the calculation method and reliability of the reported liquidity measures.

Overall, the data points to a period of worsening liquidity from 2018 to 2020, followed by progressive recovery and significant strengthening from 2021 onwards, largely driven by a notable expansion in current assets and controlled growth in current liabilities, resulting in a stronger short-term financial position in recent years.


Adjusted Debt to Equity

Microsoft Excel
Jan 28, 2023 Jan 29, 2022 Jan 30, 2021 Feb 1, 2020 Feb 2, 2019 Feb 3, 2018
Reported
Selected Financial Data (US$ in thousands)
Total debt
Stockholders’ equity (deficit)
Solvency Ratio
Debt to equity1
Adjusted
Selected Financial Data (US$ in thousands)
Adjusted total debt2
Adjusted stockholders’ equity (deficit)3
Solvency Ratio
Adjusted debt to equity4

Based on: 10-K (reporting date: 2023-01-28), 10-K (reporting date: 2022-01-29), 10-K (reporting date: 2021-01-30), 10-K (reporting date: 2020-02-01), 10-K (reporting date: 2019-02-02), 10-K (reporting date: 2018-02-03).

1 2023 Calculation
Debt to equity = Total debt ÷ Stockholders’ equity (deficit)
= ÷ =

2 Adjusted total debt. See details »

3 Adjusted stockholders’ equity (deficit). See details »

4 2023 Calculation
Adjusted debt to equity = Adjusted total debt ÷ Adjusted stockholders’ equity (deficit)
= ÷ =


The analysis of the financial data reveals notable developments in the company's debt and equity structure over the observed period.

Total Debt
The total debt has exhibited a general upward trend, increasing from approximately $874 million in early 2018 to over $3.16 billion by early 2023. There was a significant surge between 2021 and 2022, where debt more than doubled from roughly $1.1 billion to $2.82 billion, followed by a further rise to over $3.16 billion in 2023.
Stockholders’ Equity (Deficit)
Stockholders’ equity started with negative values in 2018 and 2019, indicating a deficit situation. In 2020, the figure turned positive, reaching around $18.7 million and then grew substantially to about $447 million in 2021. This growth continued in 2022, more than doubling to approximately $1.17 billion before decreasing to roughly $785 million in 2023. This suggests an overall strengthening in the company’s equity base until a reduction in the final year.
Reported Debt to Equity Ratio
The reported debt to equity ratio, available only from 2020 onward, showed extreme volatility. It was extraordinarily high at 71.17 in 2020, indicating a severe imbalance between debt and equity. Subsequently, this ratio dramatically improved to 2.47 in 2021 and stabilized near 2.41 in 2022, before increasing again to 4.03 in 2023. This suggests periods of fluctuating financial leverage, with a concerning increase in leverage in 2023.
Adjusted Total Debt
Adjusted total debt values followed a similar pattern to total debt, rising from about $1.25 billion in 2018 to approximately $3.75 billion by 2023. There were noticeable increases in 2020 and a pronounced rise from 2021 to 2023, underscoring increasing financial obligations when adjustments are taken into account.
Adjusted Stockholders’ Equity (Deficit)
Adjusted equity figures remained negative through 2020, although the deficit narrowed in 2019 and 2020 compared to 2018. Starting in 2021, adjusted equity turned positive at around $400 million and increased further to over $1.1 billion in 2022. However, it declined substantially to approximately $627 million in 2023, mirroring the trend observed in the unadjusted equity figures.
Adjusted Debt to Equity Ratio
The adjusted debt to equity ratio was available from 2021 onward. It showed a decrease from 4.06 in 2021 to 3.07 in 2022, indicating improved leverage. Nonetheless, there was a considerable increase to 5.98 in 2023, which points to heightened financial risk and an increase in debt relative to equity in the latest period.

Overall, the company’s financial position reflects a pattern of increasing indebtedness alongside improvements in equity until 2022, followed by reductions in equity and increased leverage in 2023. The elevated and volatile debt-to-equity ratios, especially under adjusted figures, highlight periods of financial stress and shifting capital structure, demanding careful consideration of the company’s risk profile moving forward.


Adjusted Debt to Capital

Microsoft Excel
Jan 28, 2023 Jan 29, 2022 Jan 30, 2021 Feb 1, 2020 Feb 2, 2019 Feb 3, 2018
Reported
Selected Financial Data (US$ in thousands)
Total debt
Total capital
Solvency Ratio
Debt to capital1
Adjusted
Selected Financial Data (US$ in thousands)
Adjusted total debt2
Adjusted total capital3
Solvency Ratio
Adjusted debt to capital4

Based on: 10-K (reporting date: 2023-01-28), 10-K (reporting date: 2022-01-29), 10-K (reporting date: 2021-01-30), 10-K (reporting date: 2020-02-01), 10-K (reporting date: 2019-02-02), 10-K (reporting date: 2018-02-03).

1 2023 Calculation
Debt to capital = Total debt ÷ Total capital
= ÷ =

2 Adjusted total debt. See details »

3 Adjusted total capital. See details »

4 2023 Calculation
Adjusted debt to capital = Adjusted total debt ÷ Adjusted total capital
= ÷ =


Total Debt
The total debt increased significantly over the six-year period. Starting at approximately $874 million in early 2018, it rose gradually to around $1.33 billion by early 2020, followed by a slight decline in 2021. However, in the subsequent years it surged sharply, reaching over $3.16 billion by early 2023. This indicates an overall trend of rising leverage with a pronounced acceleration in the most recent years.
Total Capital
Total capital followed a growth trajectory similar to total debt, increasing from roughly $867 million in early 2018 to nearly $1.35 billion in early 2020. Thereafter, it showed sustained growth, more than doubling between early 2021 and early 2022, peaking close to $4 billion in early 2022 and maintaining this level into early 2023. The growth in capital appears to accompany the increase in debt, suggesting expansion financed through both debt and equity or other capital forms.
Reported Debt to Capital Ratio
The reported debt to capital ratio remained close to or exceeded unity during the initial years, indicating that debt was roughly equal to or slightly greater than capital. This ratio peaked at 1.03 in early 2019 before declining sharply to 0.71 by early 2021. It stabilized around this lower value in 2022 and rose slightly to 0.8 in 2023. This trend points to a temporary moderation in leverage relative to capital, followed by a modest increase in the latest period.
Adjusted Total Debt
Adjusted total debt values show a trajectory similar to total debt but consistently higher. Beginning at about $1.25 billion in 2018, adjusted debt rose steadily and peaked in 2023 at nearly $3.75 billion. The adjustment appears to reflect additional liabilities not captured in the reported total debt, with the growth pattern emphasizing increasing obligations over time.
Adjusted Total Capital
Adjusted total capital also trends upwards, starting near $1.23 billion in 2018 and reaching a peak of approximately $4.55 billion in early 2022 before slightly declining to about $4.38 billion in 2023. The adjustment elevates the capital base, showing larger resources available, which expanded substantially especially between 2020 and 2022.
Adjusted Debt to Capital Ratio
This ratio demonstrates a pattern of relative stability near or slightly above 1.0 in the early years (2018 to 2020), indicating nearly equal levels of adjusted debt and capital. A marked decline occurs in 2021, dropping the ratio to 0.8 and further reducing to 0.75 in 2022, before increasing again to 0.86 in 2023. The decline reflects a period where the growth in adjusted capital outpaced that of adjusted debt, with a partial reversal in the final year.

Adjusted Financial Leverage

Microsoft Excel
Jan 28, 2023 Jan 29, 2022 Jan 30, 2021 Feb 1, 2020 Feb 2, 2019 Feb 3, 2018
Reported
Selected Financial Data (US$ in thousands)
Total assets
Stockholders’ equity (deficit)
Solvency Ratio
Financial leverage1
Adjusted
Selected Financial Data (US$ in thousands)
Adjusted total assets2
Adjusted stockholders’ equity (deficit)3
Solvency Ratio
Adjusted financial leverage4

Based on: 10-K (reporting date: 2023-01-28), 10-K (reporting date: 2022-01-29), 10-K (reporting date: 2021-01-30), 10-K (reporting date: 2020-02-01), 10-K (reporting date: 2019-02-02), 10-K (reporting date: 2018-02-03).

1 2023 Calculation
Financial leverage = Total assets ÷ Stockholders’ equity (deficit)
= ÷ =

2 Adjusted total assets. See details »

3 Adjusted stockholders’ equity (deficit). See details »

4 2023 Calculation
Adjusted financial leverage = Adjusted total assets ÷ Adjusted stockholders’ equity (deficit)
= ÷ =


The financial data reveals significant movements in the company's assets, equity, and leverage ratios over the six-year period observed.

Total Assets
Total assets show a consistent growing trend from 2018 through 2022, rising from approximately $1.73 billion to a peak of about $5.54 billion. However, there is a slight decline in 2023 where total assets decrease to roughly $5.31 billion. This overall upward trajectory indicates substantial growth in asset base until 2022, followed by a minor contraction in the most recent year.
Stockholders’ Equity (Deficit)
Stockholders’ equity starts negative at around -$7.3 million in 2018 and dives further to nearly -$23 million in 2019, indicating a deficit situation. By 2020, this shifts to a positive figure of $18.7 million, showing early signs of recovery. This positive trend strengthens markedly over subsequent years, reaching $447 million in 2021 and $1.17 billion in 2022, before declining to approximately $785 million in 2023. The data suggest a significant turnaround in equity position beginning in 2020, although the dip in 2023 points to some erosion of equity strength.
Reported Financial Leverage
Reported financial leverage data is missing for the initial two years but shows an extremely high ratio of 131.13 in 2020. This figure drastically decreases to 6.48 in 2021 and further to 4.73 in 2022, implying a rapid deleveraging or improvement in equity relative to debt. However, in 2023, this ratio rises again to 6.77, indicating an increase in leverage relative to the previous year.
Adjusted Total Assets
The pattern of adjusted total assets closely mirrors that of total assets, with growth from about $2.09 billion in 2018 to a peak around $5.49 billion in 2022, and a subsequent decline to approximately $5.15 billion in 2023. This consistency suggests that adjustments do not fundamentally alter the assessment of asset growth and contraction patterns.
Adjusted Stockholders’ Equity (Deficit)
Adjusted equity exhibits a persistent deficit position from 2018 through 2020, beginning at -$28.8 million and remaining negative at -$24.2 million in 2020. Beginning in 2021, adjusted equity turns positive to around $400 million and increases to $1.12 billion in 2022 before decreasing sharply to $627 million in 2023. This pattern mirrors the trajectory of reported equity but illustrates somewhat lower values in the most recent year.
Adjusted Financial Leverage
Adjusted leverage values are unavailable in the first three years but show increasing variability thereafter. It stands at 7.12 in 2021, declines to 4.91 in 2022, then rises significantly to 8.2 in 2023. This indicates fluctuation in leverage, with a notable increase in financial risk profile in the most recent period.

Overall, the financial data reveals a company experiencing rapid asset growth and equity recovery starting around 2020, accompanied by a substantial deleveraging process that temporarily improved financial stability. However, the slight declines in assets and equity coupled with the rising leverage ratios in 2023 suggest emerging pressures that may warrant closer monitoring.


Adjusted Net Profit Margin

Microsoft Excel
Jan 28, 2023 Jan 29, 2022 Jan 30, 2021 Feb 1, 2020 Feb 2, 2019 Feb 3, 2018
Reported
Selected Financial Data (US$ in thousands)
Net income
Net revenues
Profitability Ratio
Net profit margin1
Adjusted
Selected Financial Data (US$ in thousands)
Adjusted net income2
Net revenues
Profitability Ratio
Adjusted net profit margin3

Based on: 10-K (reporting date: 2023-01-28), 10-K (reporting date: 2022-01-29), 10-K (reporting date: 2021-01-30), 10-K (reporting date: 2020-02-01), 10-K (reporting date: 2019-02-02), 10-K (reporting date: 2018-02-03).

1 2023 Calculation
Net profit margin = 100 × Net income ÷ Net revenues
= 100 × ÷ =

2 Adjusted net income. See details »

3 2023 Calculation
Adjusted net profit margin = 100 × Adjusted net income ÷ Net revenues
= 100 × ÷ =


Net Income
The net income exhibits a significant upward trend from 2018 through 2022, increasing from 2,180 thousand USD in 2018 to a peak of 688,546 thousand USD in 2022. However, there is a noticeable decline in 2023, with net income decreasing to 528,642 thousand USD. This suggests strong growth over the earlier years followed by a contraction in the most recent year.
Net Revenues
Net revenues show a consistent upward trend from 2018 to 2022, rising from approximately 2.44 billion USD to 3.76 billion USD. Despite this steady growth, there is a slight downturn in 2023, with revenues falling to around 3.59 billion USD. This pattern indicates an overall expansion in sales volume or pricing which slowed down or slightly reversed most recently.
Reported Net Profit Margin
The reported net profit margin improved substantially over the period, starting at a low of 0.09% in 2018 and reaching a peak of 18.32% in 2022. In 2023, the margin decreased to 14.72%, reflecting reduced profitability despite still being considerably higher than earlier years. This pattern reflects gains in operational efficiency or cost control peaking in 2022 and then somewhat moderating afterward.
Adjusted Net Income
The adjusted net income follows a similar trajectory as the net income, starting from 8,785 thousand USD in 2018, reaching 677,950 thousand USD in 2022, and then dropping to 434,839 thousand USD in 2023. This adjusted figure removes certain items to better reflect core earnings, indicating that the company's underlying profitability grew strongly before declining in the last year.
Adjusted Net Profit Margin
The adjusted net profit margin also rose steadily from 0.36% in 2018 to 18.04% in 2022, then decreased to 12.11% in 2023. The close similarity in adjusted and reported margins suggests consistent adjustments over the years, with the margin trend confirming peak profitability in 2022 followed by a decline in 2023.

Adjusted Return on Equity (ROE)

Microsoft Excel
Jan 28, 2023 Jan 29, 2022 Jan 30, 2021 Feb 1, 2020 Feb 2, 2019 Feb 3, 2018
Reported
Selected Financial Data (US$ in thousands)
Net income
Stockholders’ equity (deficit)
Profitability Ratio
ROE1
Adjusted
Selected Financial Data (US$ in thousands)
Adjusted net income2
Adjusted stockholders’ equity (deficit)3
Profitability Ratio
Adjusted ROE4

Based on: 10-K (reporting date: 2023-01-28), 10-K (reporting date: 2022-01-29), 10-K (reporting date: 2021-01-30), 10-K (reporting date: 2020-02-01), 10-K (reporting date: 2019-02-02), 10-K (reporting date: 2018-02-03).

1 2023 Calculation
ROE = 100 × Net income ÷ Stockholders’ equity (deficit)
= 100 × ÷ =

2 Adjusted net income. See details »

3 Adjusted stockholders’ equity (deficit). See details »

4 2023 Calculation
Adjusted ROE = 100 × Adjusted net income ÷ Adjusted stockholders’ equity (deficit)
= 100 × ÷ =


Net Income
The net income demonstrated significant growth over the six-year period, starting from a modest 2.18 million US dollars in early 2018 and reaching a peak of approximately 688.5 million US dollars in early 2022. However, there was a noticeable decline in the most recent year, dropping to around 528.6 million US dollars. This indicates strong overall profitability growth with some volatility in the latest year.
Stockholders’ Equity (Deficit)
The stockholders’ equity category showed considerable fluctuation. Initially, the company experienced negative equity, starting at approximately -7.3 million US dollars in 2018 and deepening to nearly -23 million US dollars by 2019. From 2020 onwards, there was a sharp turnaround with equity turning positive and increasing substantially, peaking at about 1.17 billion US dollars in 2022 before declining to around 784.7 million US dollars in 2023. This trend suggests significant improvements in the company’s capital structure over time, albeit with some decrease in the latest period.
Reported Return on Equity (ROE)
Reported ROE data is available only from 2020 onwards. In 2020, ROE spiked dramatically to 1181.57%, an unusually high figure likely influenced by the low or negative equity in prior years. Subsequent years show more moderate but still strong ROEs, with 60.81% in 2021, 58.84% in 2022, and an increase to 67.37% in 2023. This pattern reflects effective utilization of equity to generate profits after stabilization of the equity base.
Adjusted Net Income
Adjusted net income parallels the trend in reported net income but displays less variability in the early years. Starting at 8.79 million US dollars in 2018, it climbs steadily to a high of about 678 million US dollars in 2022 before declining to approximately 435 million US dollars in 2023. The adjusted figures suggest consistent profitability growth with some recent contraction, similar to reported net income but typically at different scales.
Adjusted Stockholders’ Equity (Deficit)
Adjusted stockholders’ equity showed negative balances through 2020 but improved drastically thereafter. Starting from roughly -28.8 million US dollars in 2018 and deepening to nearly -51.1 million US dollars in 2019, deficits reduced to -24.2 million US dollars in 2020. From 2021, there was a notable recovery with values turning positive to 400.4 million US dollars, rising further to 1.12 billion in 2022, before declining to around 627.3 million in 2023. This trajectory aligns closely with the trend in reported equity but reflects the impact of adjustments made.
Adjusted Return on Equity (ROE)
Adjusted ROE values are reported from 2021 onwards, showing 68.26% in 2021, a decrease to 60.69% in 2022, followed by a rebound to 69.32% in 2023. These figures support the inference that the company maintained strong returns on equity considering adjusted figures, despite slight fluctuations.

Adjusted Return on Assets (ROA)

Microsoft Excel
Jan 28, 2023 Jan 29, 2022 Jan 30, 2021 Feb 1, 2020 Feb 2, 2019 Feb 3, 2018
Reported
Selected Financial Data (US$ in thousands)
Net income
Total assets
Profitability Ratio
ROA1
Adjusted
Selected Financial Data (US$ in thousands)
Adjusted net income2
Adjusted total assets3
Profitability Ratio
Adjusted ROA4

Based on: 10-K (reporting date: 2023-01-28), 10-K (reporting date: 2022-01-29), 10-K (reporting date: 2021-01-30), 10-K (reporting date: 2020-02-01), 10-K (reporting date: 2019-02-02), 10-K (reporting date: 2018-02-03).

1 2023 Calculation
ROA = 100 × Net income ÷ Total assets
= 100 × ÷ =

2 Adjusted net income. See details »

3 Adjusted total assets. See details »

4 2023 Calculation
Adjusted ROA = 100 × Adjusted net income ÷ Adjusted total assets
= 100 × ÷ =


Net Income
The net income displayed a significant upward trend from the initial period, increasing from 2,180 thousand US dollars in early 2018 to a peak of 688,546 thousand US dollars in early 2022. However, in the most recent period, net income declined to 528,642 thousand US dollars, indicating some fluctuation after a period of growth.
Total Assets
Total assets generally increased over the analysis period, rising from 1,732,866 thousand US dollars in 2018 to a high of 5,540,470 thousand US dollars in early 2022. In the final period, total assets slightly decreased to 5,309,289 thousand US dollars, suggesting a minor contraction after several years of expansion.
Reported Return on Assets (ROA)
The reported ROA showed a strong growth pattern, starting at a very low value of 0.13% in 2018 and increasing steadily to a peak of 12.43% in early 2022. The latest period experienced a decline in reported ROA to 9.96%, reflecting reduced efficiency in generating net income from assets compared to the previous year.
Adjusted Net Income
Adjusted net income similarly trended upwards, rising from 8,785 thousand US dollars in 2018 to 677,950 thousand US dollars in 2022. However, there was a notable decrease in the most recent period to 434,839 thousand US dollars, mirroring the decline seen in the reported net income figures.
Adjusted Total Assets
Adjusted total assets increased from 2,092,128 thousand US dollars in 2018 to 5,487,227 thousand US dollars in early 2022, consistent with the trend in total assets. There was a slight decrease in adjusted total assets in the last period to 5,145,650 thousand US dollars.
Adjusted Return on Assets (ROA)
The adjusted ROA also demonstrated growth, beginning at 0.42% in early 2018 and rising to a high of 12.36% in January 2022. However, it declined to 8.45% in the most recent period, indicating a reduction in the return generated from adjusted assets compared to the prior year.
Summary
Overall, the company showed strong growth in both net income and total assets over the majority of the period analyzed, with a consistent increase in both reported and adjusted return on assets, peaking in early 2022. The most recent period demonstrates a downturn across key profitability and efficiency metrics, suggesting either a shift in operational performance or market conditions. Both net income and adjusted net income decreased, total assets contracted slightly, and returns on assets dropped, signaling the need for further investigation into factors influencing the recent decline.