NewMarket Corporation (NEU)

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	388,864	398,976	350,955	317,803	279,538	206,222	195,034	180,514	190,908	240,586	284,342	254,739	270,568	253,786	225,797	277,622	254,286	266,987	257,663	236,374
Total stockholders’ equity	US$ in thousands	1,077,060	971,943	892,740	821,800	762,407	667,376	721,335	760,090	762,129	772,773	849,210	810,355	759,824	723,526	635,285	639,249	683,098	629,338	589,176	538,196
ROE		36.10%	41.05%	39.31%	38.67%	36.67%	30.90%	27.04%	23.75%	25.05%	31.13%	33.48%	31.44%	35.61%	35.08%	35.54%	43.43%	37.23%	42.42%	43.73%	43.92%

December 31, 2023 calculation

ROE = Net income (ttm) ÷ Total stockholders’ equity
= $388,864K ÷ $1,077,060K
= 36.10%

NewMarket Corp.'s return on equity (ROE) has shown a positive trend over the past eight quarters, increasing from 23.69% in Q1 2022 to 35.98% in Q4 2023. This indicates that the company's ability to generate profit relative to its shareholder equity has been improving steadily. The consistent upward trend suggests that NewMarket Corp. is effectively utilizing its equity to generate returns for its shareholders. The recent ROE of 35.98% in Q4 2023 is particularly strong, indicating that the company is becoming increasingly efficient at generating profit with the equity invested in the business. Overall, the trend in ROE demonstrates that NewMarket Corp. has been successful in enhancing shareholder value through effective management of its financial resources.