Permian Resources Corporation (PR)

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 984,701 1,023,405 682,462 520,761 593,987 537,341 835,412 953,839 749,840 711,883 405,503 188,622 138,175 -111,231 -199,884 -169,499 -682,837 -584,564 -536,620 -524,073
Total stockholders’ equity US$ in thousands 9,138,530 8,997,910 8,346,160 6,958,080 6,336,100 3,654,840 3,308,720 3,215,260 2,935,750 2,824,490 2,969,570 2,771,080 2,750,720 2,584,650 2,538,340 2,558,900 2,603,960 2,687,820 2,734,540 2,716,570
ROE 10.78% 11.37% 8.18% 7.48% 9.37% 14.70% 25.25% 29.67% 25.54% 25.20% 13.66% 6.81% 5.02% -4.30% -7.87% -6.62% -26.22% -21.75% -19.62% -19.29%

December 31, 2024 calculation

ROE = Net income (ttm) ÷ Total stockholders’ equity
= $984,701K ÷ $9,138,530K
= 10.78%

Permian Resources Corporation's return on equity (ROE) has shown a fluctuating trend over the past few years. From March 31, 2020 to December 31, 2021, the ROE was consistently negative, indicating that the company was not generating sufficient profits relative to shareholders' equity. However, starting from March 31, 2022, the ROE turned positive and demonstrated a steady increase over the next few quarters.

The significant improvement in ROE from 2022 onwards suggests that Permian Resources Corporation has been able to enhance its profitability and efficiency in utilizing shareholders' equity to generate returns. The ROE peaked at 29.67% on March 31, 2023, before gradually decreasing in the following quarters while remaining at healthy levels above 10%.

Overall, the positive ROE values from 2022 to 2024 indicate that the company has been successful in increasing its profitability and delivering value to its shareholders. This upward trend in ROE reflects positively on Permian Resources Corporation's financial performance and indicates effective management of the company's resources to generate returns for investors.