Viatris Inc (VTRS)

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	-634,200	-883,300	-646,500	-56,100	54,700	1,831,500	1,854,200	1,904,100	2,078,600	803,600	760,800	167,700	-1,269,100	-1,921,100	-2,046,900	-1,728,300	-669,900	266,400	270,500	62,600
Total stockholders’ equity	US$ in thousands	18,635,500	19,792,400	19,520,000	20,014,300	20,467,400	20,865,600	20,843,300	20,927,900	21,072,300	19,182,300	19,805,400	20,447,700	20,492,700	21,141,300	21,206,900	21,414,700	22,954,100	12,547,900	11,746,200	11,262,700
ROE		-3.40%	-4.46%	-3.31%	-0.28%	0.27%	8.78%	8.90%	9.10%	9.86%	4.19%	3.84%	0.82%	-6.19%	-9.09%	-9.65%	-8.07%	-2.92%	2.12%	2.30%	0.56%

December 31, 2024 calculation

ROE = Net income (ttm) ÷ Total stockholders’ equity
= $-634,200K ÷ $18,635,500K
= -3.40%

The return on equity (ROE) for Viatris Inc exhibited fluctuations over the period from March 31, 2020, to December 31, 2024. The ROEs for the company ranged from a low of -9.65% in June 30, 2021, to a high of 9.86% in December 31, 2022.

During the early part of the period, the company experienced negative ROE figures, indicating that the shareholder equity was not generating positive returns. However, in the latter part of the period, the ROE numbers improved significantly, surpassing the 0% mark consistently. The positive trend in ROE suggests that the company was able to generate higher returns on the shareholder's equity.

It is important to note that ROE is a key metric for evaluating a company's profitability and efficiency in utilizing shareholder equity to generate profits. The upward trend in ROE from 2022 to 2023 indicates a potential improvement in the company's financial performance and its ability to create value for its shareholders.

Overall, the analysis of Viatris Inc's ROE underscores the importance of tracking this metric over time to gauge the company's financial health and its ability to generate profits from the shareholder's investments.