Cactus Inc (WHD)

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 185,407 187,667 190,320 165,242 169,171 151,213 130,058 132,452 110,174 94,209 75,401 58,650 49,593 37,771 31,387 27,022 34,446 49,302 62,408 77,788
Total stockholders’ equity US$ in thousands 1,264,180 1,003,020 954,676 893,366 865,522 1,010,070 952,774 925,836 710,445 544,239 517,239 492,323 595,033 579,700 441,970 559,050 550,770 546,560 547,907 542,426
ROE 14.67% 18.71% 19.94% 18.50% 19.55% 14.97% 13.65% 14.31% 15.51% 17.31% 14.58% 11.91% 8.33% 6.52% 7.10% 4.83% 6.25% 9.02% 11.39% 14.34%

December 31, 2024 calculation

ROE = Net income (ttm) ÷ Total stockholders’ equity
= $185,407K ÷ $1,264,180K
= 14.67%

The return on equity (ROE) of Cactus Inc has exhibited fluctuations over the past few years, indicating varying levels of profitability relative to shareholders' equity. The ROE started at 14.34% in March 2020 and gradually declined to 6.25% by December 2020. This downward trend continued until March 2021, reaching a low of 4.83%. However, from June 2021 onwards, there was a notable improvement in ROE, with a subsequent increase to 19.94% by June 2024.

Overall, the ROE of Cactus Inc demonstrated volatility during the period under review, with periodic spikes and declines. It is important to further analyze the underlying reasons for these fluctuations to understand the company's performance and value creation for shareholders.