Baker Hughes Co (BKR)
Return on equity (ROE)
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | 1,944,000 | 1,686,000 | 1,151,000 | -98,000 | -602,000 | -491,000 | -466,000 | 305,000 | -219,000 | 140,000 | -38,000 | -165,000 | -9,940,000 | -10,544,000 | -10,317,000 | -10,131,000 | 128,000 | 211,000 | 167,000 | 157,000 |
| Total stockholders’ equity | US$ in thousands | 15,368,000 | 15,250,000 | 15,125,000 | 14,714,000 | 14,394,000 | 14,144,000 | 14,882,000 | 15,704,000 | 14,830,000 | 14,142,000 | 13,890,000 | 13,043,000 | 12,893,000 | 11,582,000 | 11,254,000 | 11,470,000 | 21,929,000 | 21,876,000 | 17,388,000 | 17,512,000 |
| ROE | 12.65% | 11.06% | 7.61% | -0.67% | -4.18% | -3.47% | -3.13% | 1.94% | -1.48% | 0.99% | -0.27% | -1.27% | -77.10% | -91.04% | -91.67% | -88.33% | 0.58% | 0.96% | 0.96% | 0.90% |
December 31, 2023 calculation
ROE = Net income (ttm) ÷ Total stockholders’ equity
= $1,944,000K ÷ $15,368,000K
= 12.65%
Analyzing Baker Hughes Co's return on equity (ROE) over the past eight quarters reveals fluctuations in performance. In Q4 2023, the ROE stood at 12.64%, showing an improvement compared to the previous quarter, which recorded an ROE of 11.06%. This indicates enhanced profitability and efficiency in utilizing shareholders' equity during the period.
Looking back, the company experienced a significant improvement in Q2 2023 with an ROE of 7.62%, compared to Q1 2023 where the ROE was negative at -0.66%. However, there were challenges in the preceding quarters, as Q4 2022 and Q3 2022 both reported negative ROEs of -4.18% and -3.47%, respectively.
Despite the recent improvements, the company has not fully recovered from the negative performance seen in earlier periods. It will be crucial for Baker Hughes Co to sustain the positive trend seen in the most recent quarters to ensure long-term profitability and value creation for its shareholders. Further analysis of the company's operational efficiency and financial management practices may provide additional insights into the factors driving these fluctuations in ROE.
Peer comparison
Dec 31, 2023