Valaris Ltd (VAL)
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 | 373,400 | 1,074,900 | 1,023,200 | 844,200 | 865,400 | 59,400 | 120,800 | 261,800 | 175,300 | 173,800 | 45,000 | -3,629,800 | -4,500,000 | -4,598,600 | -5,215,000 | -2,759,200 | -4,855,500 | -5,000,100 | -4,526,300 | -3,019,800 |
| Total stockholders’ equity | US$ in thousands | 2,244,300 | 2,114,900 | 2,176,800 | 2,020,900 | 1,987,600 | 1,200,000 | 1,266,100 | 1,352,000 | 1,297,900 | 1,214,400 | 1,140,400 | 1,022,600 | 1,060,800 | 1,036,600 | 1,089,500 | 3,463,100 | 4,374,600 | 4,518,700 | 5,190,400 | 6,298,300 |
| ROE | 16.64% | 50.83% | 47.00% | 41.77% | 43.54% | 4.95% | 9.54% | 19.36% | 13.51% | 14.31% | 3.95% | -354.96% | -424.21% | -443.62% | -478.66% | -79.67% | -110.99% | -110.65% | -87.21% | -47.95% |
December 31, 2024 calculation
ROE = Net income (ttm) ÷ Total stockholders’ equity
= $373,400K ÷ $2,244,300K
= 16.64%
Valaris Ltd's return on equity (ROE) has shown a significant improvement over the past few quarters. The company's ROE was negative and quite low in the earlier periods, indicating that it was not generating sufficient profits relative to the shareholders' equity.
From June 30, 2022, there was a notable turning point as the ROE entered positive territory at 3.95%. Subsequently, the ROE continued to increase steadily, reaching 50.83% by September 30, 2024, which signifies a strong profitability relative to the shareholders' equity.
This positive trend in ROE from mid-2022 to the end of 2024 indicates that Valaris Ltd has been effectively utilizing its equity to generate profits for its shareholders. Investors may view this improvement positively as it suggests the company is becoming more efficient and profitable in its operations.
Peer comparison
Dec 31, 2024