Viper Energy Ut (VNOM)

Return on equity (ROE)

		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	Dec 31, 2019
Net income (ttm)	US$ in thousands	206,150	235,832	209,481	200,088	164,822	165,563	169,035	151,673	169,432	106,924	77,564	57,939	-9,145	-26,741	-53,155	-192,304	-162,394	-153,684	-129,667	46,281
Total stockholders’ equity	US$ in thousands	1,400,960	1,089,800	1,079,540	1,014,290	2,418,580	2,286,170	2,292,430	690,659	2,290,910	2,270,760	2,242,980	2,232,830	1,855,750	1,847,020	1,850,040	1,860,830	1,953,140	1,941,480	1,990,170	2,185,420
ROE		14.71%	21.64%	19.40%	19.73%	6.81%	7.24%	7.37%	21.96%	7.40%	4.71%	3.46%	2.59%	-0.49%	-1.45%	-2.87%	-10.33%	-8.31%	-7.92%	-6.52%	2.12%

September 30, 2024 calculation

ROE = Net income (ttm) ÷ Total stockholders’ equity
= $206,150K ÷ $1,400,960K
= 14.71%

The return on equity (ROE) of Viper Energy Ut has shown significant variability over the past several quarters. From September 2020 to September 2024, the ROE fluctuated between negative figures and positive values, indicating inconsistent performance in generating profits relative to shareholders' equity.

The ROE started at 2.12% in December 2019 and declined to negative figures in the following quarters until March 2021. However, there was a turning point in the trend from March 2021 onwards, with ROE gradually improving and reaching a peak of 21.96% in December 2022. Subsequently, there was a slight decline before another peak of 21.64% in June 2024.

Overall, the ROE of Viper Energy Ut has shown notable improvement in recent quarters, suggesting the company's efficiency in utilizing shareholders' equity to generate profits has strengthened. However, investors should carefully monitor future ROE figures to assess the sustainability of this positive trend.