Valero Energy Corp. (NYSE:VLO)

Trend in Current Assets

The current assets showed a decline from 2019 to 2020, decreasing from 18,969 million US dollars to 15,844 million US dollars. From 2020 onward, there was a consistent upward trend, with current assets increasing each year to reach 26,221 million US dollars by the end of 2023. This represents a substantial recovery and growth after the initial decline.

Trend in Adjusted Current Assets

Adjusted current assets followed a similar but more pronounced pattern. There was a reduction in 2020 relative to 2019, from 21,505 million US dollars to 17,191 million US dollars. From 2020 through 2023, adjusted current assets demonstrated a steady increase, reaching 30,649 million US dollars in 2023. The adjusted figures consistently remained higher than the non-adjusted current assets, indicating the inclusion of additional components in the adjustment process.

Comparison and Insights

While both metrics experienced a dip in 2020, likely reflecting external economic or operational challenges during that period, the subsequent steady increases suggest improved liquidity and asset management. The growth in adjusted current assets outpacing the growth in current assets highlights a potential improvement in asset quality or reclassification that enhances the liquidity profile when adjustments are considered.

The analysis of the financial data over the five-year period reveals a steady growth in both total assets and adjusted total assets. Total assets increased from US$ 53,864 million at the end of 2019 to US$ 63,056 million at the end of 2023. This represents a gradual upward trend, indicating consistent asset accumulation or appreciation over the period.

Adjusted total assets show a similar growth pattern, rising from US$ 56,400 million in 2019 to US$ 67,484 million in 2023. The adjusted figure consistently exceeds the reported total assets each year, suggesting that adjustments—likely reflecting revaluations or other accounting measures—add to the valuation of the company's assets.

Total Assets

From 2019 to 2020, there was a slight decline from 53,864 to 51,774 million US$, possibly indicating disposals or depreciation outpacing acquisitions. However, from 2020 onwards, total assets increased annually, reaching 63,056 million US$ in 2023.

Adjusted Total Assets

The adjusted total assets also declined from 56,400 million US$ in 2019 to 53,121 million US$ in 2020, mirroring the trend in total assets. Afterward, the adjusted figure grew significantly, especially between 2020 and 2021, with a notable increase to 63,116 million US$. Growth continued at a slower pace thereafter, reaching 67,484 million US$ in 2023.

Overall, the data indicate a recovery and expansion of asset base following a dip in 2020. The upward trend in both total and adjusted assets suggests positive company developments such as capital investment, acquisition, or asset revaluation processes, supporting a strengthened asset position by the end of 2023.

The analysis of the financial data over the five-year period reveals several trends in the liabilities of the company.

Total liabilities

Total liabilities increased from US$31,328 million in 2019 to a peak of US$38,071 million in 2021, indicating a significant rise in the company's obligations during this period. This was followed by a decline to US$35,514 million in 2022 and further to US$34,532 million in 2023, suggesting a reduction or consolidation of liabilities after 2021.

Adjusted total liabilities

Adjusted total liabilities exhibited a similar pattern, rising from US$26,225 million in 2019 to US$32,861 million in 2021. Post-2021, these liabilities decreased to US$30,297 million in 2022 and further to US$29,183 million in 2023, reflecting a consistent downward adjustment that mirrors the trend seen in total liabilities.

Overall, both total and adjusted total liabilities showed a notable increase up to 2021, followed by a gradual decline through 2022 and 2023. This pattern may indicate efforts towards debt reduction or improved financial management in recent years.

Total Valero Energy Corporation stockholders’ equity

The stockholders’ equity shows a declining trend from 2019 to 2021, decreasing from $21,803 million in 2019 to $18,430 million in 2021. This represents a reduction of approximately 15.5% over the two-year span. However, from 2021 onwards, the equity reverses this trend, increasing significantly by 27.8% to $23,561 million in 2022, and further rising to $26,346 million in 2023. Overall, after the initial downturn, the equity not only recovers but surpasses the 2019 level by the end of 2023.

Adjusted total equity

Adjusted total equity follows a somewhat similar but more pronounced pattern. It declines from $30,175 million in 2019 to $26,264 million in 2020, marking a decrease of about 13%. Subsequently, the adjusted equity experiences a robust recovery and growth phase, increasing to $30,255 million in 2021, which nearly restores it to the 2019 level. This upward trend continues strongly through 2022 and 2023, reaching $37,015 million and $38,301 million, respectively. The increase from 2021 to 2023 represents a substantial growth of roughly 26.6% in adjusted equity.

Comparative insights

Both total stockholders’ equity and adjusted total equity exhibit a pattern of initial decline followed by significant growth. The adjusted total equity consistently remains higher than the total stockholders’ equity across all years, indicating that the adjustments account for a sizeable portion of the equity base. The steeper growth in adjusted equity suggests improvements in valuation adjustments or other factors included in the adjusted measures. The recovery and growth after 2020 imply an improved financial position and possibly favorable market conditions or internal performance enhancements during the later periods.

The financial data presents a multi-year overview of debt, equity, and capital metrics. Several distinct trends emerge over the five-year period.

Total reported debt

The reported debt shows a notable increase from 2019 to 2020, rising from 9,672 million US dollars to 14,677 million US dollars. After peaking in 2020, it then gradually declines to 11,524 million US dollars by the end of 2023. This suggests an initial increase in leverage during 2020, possibly reflecting external financial pressures or strategic financing decisions, followed by a deleveraging phase.

Total Valero Energy Corporation stockholders’ equity

Equity decreased from 21,803 million US dollars in 2019 to 18,801 million US dollars in 2020, indicating a potential loss or distribution to shareholders during that year. Subsequently, equity stabilizes with a modest decline in 2021, then a strong recovery and growth through 2022 and 2023, reaching 26,346 million US dollars. This recovery indicates improved financial health and retained earnings growth in the most recent years.

Total reported capital

The total reported capital exhibits a generally upward trend from 31,475 million US dollars in 2019 to 37,870 million US dollars in 2023, with a slight dip in 2021. This trend reflects the combined movements in debt and equity, representing an overall increase in the company's financial base over the period.

Adjusted total debt

Adjusted total debt parallels the trend in reported debt: a sharp increase from 10,962 million US dollars in 2019 to 15,847 million US dollars in 2020, followed by a steady decline to 12,637 million US dollars by 2023. The slightly higher adjusted figures compared to reported debt suggest inclusion of additional liabilities or adjustments, but the trend remains consistent with reported debt.

Adjusted total equity

Adjusted equity shows a decline from 30,175 million US dollars in 2019 to 26,264 million US dollars in 2020, followed by a marked recovery with continuous growth through 2023, reaching 38,301 million US dollars. This pattern implies a strong rebound in shareholder value after an initial downturn, exceeding the starting point by a significant margin.

Adjusted total capital

The adjusted total capital increased steadily across all years, from 41,137 million US dollars in 2019 to 50,938 million US dollars in 2023. The steady growth in this measure indicates progressive strengthening of the company’s capital structure when adjustments are considered, supporting increased operational or investment capacity.

Overall, the financial profile reflects a period of stress or strategic borrowing in 2020, followed by consistent restoration and strengthening through 2023. Both equity and capital measures recover from their declines, indicating improved financial stability and growth prospects in the latter years. Debt levels decline after reaching a peak, suggesting active management of liabilities.

Net income (loss) attributable to stockholders

The net income exhibited significant volatility over the five-year period. In 2019, the company reported a positive net income of $2,422 million. However, in 2020, there was a sharp decline leading to a net loss of $1,421 million, likely reflecting adverse market conditions or operational challenges during that year. The company returned to profitability in 2021 with a net income of $930 million, signaling recovery. A strong upward trend continued in 2022, with net income peaking at $11,528 million, representing a substantial increase compared to previous years. In 2023, net income decreased to $8,835 million but remained significantly higher than the levels seen before 2022, indicating sustained profitability albeit with some decline from the peak.

Adjusted net income (loss)

The adjusted net income followed a somewhat parallel trajectory to the reported net income, yet with notable differences in magnitude. In 2019, adjusted net income was considerably higher than reported net income, at $4,174 million, suggesting adjustments for non-recurring items or other factors. The adjusted figure turned negative in 2020, amounting to a loss of $2,037 million, consistent with the overall volatility and loss in that year. In 2021, adjusted net income rebounded strongly to $5,291 million, indicating operational improvements and possible one-time adjustments contributing favorably. The upward trend culminated in 2022 with adjusted net income reaching $12,674 million, marking the highest value in the observed period and surpassing the reported net income for the year. In 2023, the adjusted figure declined to $7,931 million, continuing the pattern of reduction post-peak but maintaining a robust profitability level relative to the initial years.