IQVIA Holdings Inc (IQV)
Return on equity (ROE)
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | 1,373,000 | 1,405,000 | 1,423,000 | 1,357,000 | 1,358,000 | 1,116,000 | 1,096,000 | 1,055,000 | 1,091,000 | 1,182,000 | 1,160,000 | 1,079,000 | 966,000 | 767,000 | 607,000 | 409,000 | 279,000 | 176,000 | 132,000 | 215,000 |
| Total stockholders’ equity | US$ in thousands | 6,067,000 | 6,967,000 | 6,714,000 | 6,344,000 | 6,112,000 | 5,805,000 | 5,748,000 | 5,932,000 | 5,765,000 | 5,347,000 | 5,352,000 | 5,919,000 | 6,042,000 | 5,829,000 | 5,760,000 | 5,953,000 | 6,001,000 | 5,846,000 | 5,591,000 | 5,542,000 |
| ROE | 22.63% | 20.17% | 21.19% | 21.39% | 22.22% | 19.22% | 19.07% | 17.78% | 18.92% | 22.11% | 21.67% | 18.23% | 15.99% | 13.16% | 10.54% | 6.87% | 4.65% | 3.01% | 2.36% | 3.88% |
December 31, 2024 calculation
ROE = Net income (ttm) ÷ Total stockholders’ equity
= $1,373,000K ÷ $6,067,000K
= 22.63%
The return on equity (ROE) for IQVIA Holdings Inc has shown a generally positive trend over the analyzed period from March 31, 2020, to December 31, 2024. ROE is a key profitability ratio that indicates how effectively the company is utilizing its shareholders' equity to generate profits.
At the beginning of the period in March 2020, the ROE was relatively low at 3.88%. However, it gradually increased over time, reaching 22.63% by December 31, 2024. This upward trend indicates an improvement in the company's profit generation relative to its equity base.
The most significant increases in ROE occurred between June 30, 2021, and December 31, 2024, where the ratio rose from 10.54% to 22.63%. This indicates that IQVIA Holdings Inc was able to enhance its profitability and deliver stronger returns to its shareholders during this period.
Overall, the increasing trend in ROE reflects positively on IQVIA Holdings Inc's performance and efficiency in utilizing shareholder equity to generate profits. Investors typically view a rising ROE as a sign of a company's improving financial health and management effectiveness.
Peer comparison
Dec 31, 2024