Analysis of Profitability Ratios
Quarterly Data
Profitability ratios measure the company ability to generate profitable sales from its resources (assets).
Profitability Ratios (Summary)
Valero Energy Corp., profitability ratios (quarterly data)
Based on: 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31).
The financial data indicates several notable trends in profitability and efficiency metrics over the observed quarters.
- Gross Profit Margin
- The gross profit margin records an overall increasing trend starting from negative and low positive values in 2019 and 2020, transitioning into consistently positive and strengthening margins from 2021 onward. It peaks around 11.18% in late 2023 before beginning a gradual decline into 2024, ending near 4.5%. This trajectory suggests improving gross profitability over the mid-term, with some pressure possibly emerging in recent quarters.
- Operating Profit Margin
- The operating profit margin follows a pattern similar to the gross margin, initially fluctuating and exhibiting negative performance in late 2019 and early 2020. Improvement is evident beginning mid-2021 with steady increases peaking above 10% in late 2023. The margin subsequently decreases through 2024 but remains positive. This pattern indicates recovery and operational efficiency gains post-2020 challenges.
- Net Profit Margin
- Net profit margins demonstrate volatility with early declines into negative territory in 2019 and 2020, recovering steadily from 2021 onward. The margin peaks near 7.86% in early 2023 before experiencing a moderate reduction in subsequent quarters, but remains positive through 2024. This reflects overall profitability growth with a slight softening trend more recently.
- Return on Equity (ROE)
- Return on equity exhibits substantial variation over the periods, starting with negative values in 2019 and 2020. A strong upward movement is observed from 2021 through 2023, where it reaches an exceptional high above 54%. However, from early 2024, a marked decline occurs, with ROE falling to mid-teens by the third quarter of 2024. This suggests pronounced fluctuations in equity profitability, possibly due to changes in net income or equity base dynamics.
- Return on Assets (ROA)
- Return on assets mirrors the pattern seen in ROE, with negative or near-zero figures during 2019 and 2020, followed by notable improvements from 2021 into 2023. ROA peaks around 22.75% in late 2023 before retreating to just above 6% in mid-2024. The trend signals enhanced asset utilization efficiency during the recovery phase, though recent decreases indicate some emerging inefficiencies or asset base growth outpacing income.
Overall, the data depicts a recovery and growth phase following challenging periods in or before 2020. Profitability metrics including gross, operating, and net margins, as well as returns on equity and assets, generally improve sharply from 2021 through 2023. The subsequent gradual decline in most metrics throughout 2024 warrants attention, as it may reflect changing market conditions, cost structures, or strategic shifts affecting financial performance.
Return on Sales
Return on Investment
Gross Profit Margin
Valero Energy Corp., gross profit margin calculation (quarterly data)
Based on: 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31).
1 Q3 2024 Calculation
Gross profit margin = 100
× (Gross profit (loss)Q3 2024
+ Gross profit (loss)Q2 2024
+ Gross profit (loss)Q1 2024
+ Gross profit (loss)Q4 2023)
÷ (Revenues, includes excise taxes on sales by certain of foreign operationsQ3 2024
+ Revenues, includes excise taxes on sales by certain of foreign operationsQ2 2024
+ Revenues, includes excise taxes on sales by certain of foreign operationsQ1 2024
+ Revenues, includes excise taxes on sales by certain of foreign operationsQ4 2023)
= 100 × (754 + 1,439 + 1,983 + 1,874)
÷ (32,876 + 34,490 + 31,759 + 35,414)
= 4.50%
The data reveals notable fluctuations in gross profit (loss) and revenues over the reported quarters, as well as a generally increasing gross profit margin in recent periods.
- Gross profit (loss)
- From March 2019 through December 2019, gross profit recorded mostly positive values, peaking at 2,003 million US dollars in the last quarter of 2019. However, the first half of 2020 saw significant volatility with a major loss of -2,085 million US dollars in March 2020, followed by a recovery to positive profits in June 2020. The remainder of 2020 exhibited fluctuations including losses in September and December.
- Starting in 2021, the company returned to consistent positive gross profits, with an upward trajectory through 2021 and a sharp increase in 2022, reaching a peak of 6,479 million US dollars in June 2022. Subsequent quarters in 2022 and 2023 showed a gradual decrease from this peak but maintained relatively high profit levels compared to earlier years.
- In 2024, the gross profit value shows a steady decline across the first three quarters, falling to 754 million US dollars by September 2024, which may signal emerging pressures on profitability.
- Revenues
- Revenue fluctuations correspond roughly with gross profit trends but are less volatile. After steady increases from 24,263 million US dollars in March 2019 to a peak of 51,641 million US dollars in June 2022, revenues declined noticeably thereafter.
- Following the June 2022 peak, revenues exhibited a downward trend through 2023 and into 2024, falling from 41,746 million US dollars in December 2022 to 32,876 million US dollars by March 2024. This decline may contribute to the reduced gross profit in the same period.
- Gross profit margin
- The gross profit margin shows a significant dip during early 2020, reflecting the sharp loss in gross profit during that period. The margin was negative in March 2020 (-1.14%) but improved steadily afterward.
- From 2021 onward, the gross profit margin demonstrated a strong upward trend, increasing from 2.75% in March 2021 to a peak of 11.18% in December 2022, indicating improved efficiency or favorable pricing conditions.
- Thereafter, the margin decreased moderately in 2023 and into mid-2024, settling at 4.5% by September 2024, which signals a moderation in profitability relative to revenues.
Overall, the financial data indicates a period of recovery and growth in gross profit and margin after substantial disruptions in early 2020, followed by a peak in profitability in mid-2022. However, the subsequent quarters reflect a reversal of this trend with declining revenues, gross profit, and margins, suggesting potential challenges facing the company's core operations or market conditions in the most recent periods.
Operating Profit Margin
Valero Energy Corp., operating profit margin calculation (quarterly data)
| 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 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||||||||||||||||||||||||||
| Operating income (loss) | 507) | 1,221) | 1,679) | 1,553) | 3,503) | 2,759) | 4,043) | 4,295) | 3,792) | 6,219) | 1,384) | 1,594) | 693) | 509) | (666) | (470) | (621) | 1,789) | (2,277) | 1,739) | 881) | 908) | 308) | |||||||
| Revenues, includes excise taxes on sales by certain of foreign operations | 32,876) | 34,490) | 31,759) | 35,414) | 38,404) | 34,509) | 36,439) | 41,746) | 44,454) | 51,641) | 38,542) | 35,903) | 29,520) | 27,748) | 20,806) | 16,604) | 15,809) | 10,397) | 22,102) | 27,879) | 27,249) | 28,933) | 24,263) | |||||||
| Profitability Ratio | ||||||||||||||||||||||||||||||
| Operating profit margin1 | 3.69% | 5.68% | 6.78% | 8.19% | 9.66% | 9.47% | 10.53% | 8.90% | 7.62% | 6.36% | 3.17% | 1.87% | 0.07% | -1.54% | 0.05% | -2.43% | 0.83% | 2.43% | 1.18% | 3.54% | — | — | — | |||||||
| Benchmarks | ||||||||||||||||||||||||||||||
| Operating Profit Margin, Competitors2 | ||||||||||||||||||||||||||||||
| Chevron Corp. | 13.22% | 14.15% | 14.73% | 15.37% | 18.06% | 19.98% | 21.92% | 21.42% | 21.03% | 19.86% | 16.73% | 14.81% | 11.53% | 6.49% | -7.90% | -6.22% | — | — | — | — | — | — | — | |||||||
| ConocoPhillips | 28.67% | 29.76% | 29.79% | 30.57% | 30.06% | 31.80% | 33.89% | 36.80% | 37.27% | 37.07% | 36.63% | 29.84% | 22.86% | 14.26% | 4.66% | -12.74% | — | — | — | — | — | — | — | |||||||
| Exxon Mobil Corp. | 14.99% | 15.19% | 15.03% | 16.24% | 17.15% | 19.54% | 21.37% | 19.07% | 18.60% | 15.93% | 12.25% | 11.91% | -2.07% | -6.88% | -12.46% | -14.85% | — | — | — | — | — | — | — | |||||||
| Occidental Petroleum Corp. | 22.26% | 22.99% | 22.07% | 24.21% | 26.09% | 29.74% | 35.99% | 38.32% | 38.11% | 34.71% | 25.87% | 17.59% | 4.22% | -23.09% | -79.26% | -79.89% | — | — | — | — | — | — | — | |||||||
Based on: 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31).
1 Q3 2024 Calculation
Operating profit margin = 100
× (Operating income (loss)Q3 2024
+ Operating income (loss)Q2 2024
+ Operating income (loss)Q1 2024
+ Operating income (loss)Q4 2023)
÷ (Revenues, includes excise taxes on sales by certain of foreign operationsQ3 2024
+ Revenues, includes excise taxes on sales by certain of foreign operationsQ2 2024
+ Revenues, includes excise taxes on sales by certain of foreign operationsQ1 2024
+ Revenues, includes excise taxes on sales by certain of foreign operationsQ4 2023)
= 100 × (507 + 1,221 + 1,679 + 1,553)
÷ (32,876 + 34,490 + 31,759 + 35,414)
= 3.69%
2 Click competitor name to see calculations.
The operating income exhibited significant volatility throughout the observed periods. Initially, from early 2019 through the end of that year, operating income showed strong positive performance, reaching a peak of approximately 1,739 million USD in the last quarter of 2019. However, the onset of 2020 saw a sharp decline with a substantial loss of 2,277 million USD in the first quarter, followed by fluctuations including both positive and negative results across the remaining quarters of 2020. From early 2021 onward, the company experienced a recovery with predominantly positive operating income figures, peaking notably in the first half of 2022 with values exceeding 6,000 million USD during the second quarter. Afterward, although operating income values decreased, they remained positive through most quarters of 2023 and into mid-2024, with a downward trend observable in the final two quarters of the dataset.
Revenue trends showed a decrease beginning in early 2020, corresponding with the operating income slump in the same period. Revenues dropped from approximately 27,879 million USD at the end of 2019 to a low of 10,397 million USD in the second quarter of 2020. A recovery phase followed, with revenues increasing and surpassing pre-2020 levels during 2021 and continuing to rise significantly through the first half of 2022, reaching a peak of over 51,000 million USD. Subsequent quarters displayed a gradual decline in revenues, stabilizing around the mid-30,000 million USD level through 2023 and mid-2024.
The operating profit margin data, available from early 2020 onward, indicates generally low and fluctuating profitability margins during 2020, including multiple quarters with negative margins. Starting in 2021, margins consistently improved, increasing quarter over quarter to reach a high point of 10.53% in the first quarter of 2023. Following this peak, while margins remained positive, a downward trend was noted, with margins declining to 3.69% by the third quarter of 2024.
- Operating Income (Loss)
- Marked by high volatility with negative impacts in early 2020, followed by a recovery phase from 2021 to mid-2022, and a tapering off in late 2023 to mid-2024.
- Revenues
- Declined substantially in early 2020 but rebounded strongly through 2021 and 2022. Revenues showed a modest downward adjustment after reaching peak levels in 2022, maintaining moderate stability in 2023 and 2024.
- Operating Profit Margin
- Margins were erratic and often negative during 2020, improved steadily during 2021 and early 2023, then experienced a decline through 2024 while remaining positive.
Overall, the data points to a challenging period in 2020, likely reflecting external market disruptions, followed by a period of robust recovery and growth through 2021 and 2022. However, recent trends suggest easing momentum with a decline in profitability and revenues in late 2023 and into 2024. Continued monitoring of these indicators will be critical to assess whether the recent downtrend represents a short-term fluctuation or a longer-term shift in performance.
Net Profit Margin
Valero Energy Corp., net profit margin calculation (quarterly data)
| 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 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||||||||||||||||||||||||||
| Net income (loss) attributable to Valero Energy Corporation stockholders | 364) | 880) | 1,245) | 1,202) | 2,622) | 1,944) | 3,067) | 3,113) | 2,817) | 4,693) | 905) | 1,009) | 463) | 162) | (704) | (359) | (464) | 1,253) | (1,851) | 1,060) | 609) | 612) | 141) | |||||||
| Revenues, includes excise taxes on sales by certain of foreign operations | 32,876) | 34,490) | 31,759) | 35,414) | 38,404) | 34,509) | 36,439) | 41,746) | 44,454) | 51,641) | 38,542) | 35,903) | 29,520) | 27,748) | 20,806) | 16,604) | 15,809) | 10,397) | 22,102) | 27,879) | 27,249) | 28,933) | 24,263) | |||||||
| Profitability Ratio | ||||||||||||||||||||||||||||||
| Net profit margin1 | 2.74% | 4.25% | 5.01% | 6.10% | 7.11% | 6.96% | 7.86% | 6.54% | 5.53% | 4.54% | 1.93% | 0.82% | -0.46% | -1.69% | -0.43% | -2.19% | 0.00% | 1.22% | 0.41% | 2.24% | — | — | — | |||||||
| Benchmarks | ||||||||||||||||||||||||||||||
| Net Profit Margin, Competitors2 | ||||||||||||||||||||||||||||||
| Chevron Corp. | 8.60% | 9.50% | 10.43% | 10.85% | 12.57% | 14.09% | 15.41% | 15.05% | 15.05% | 14.09% | 11.60% | 10.04% | 7.36% | 3.09% | -8.10% | -5.87% | — | — | — | — | — | — | — | |||||||
| ConocoPhillips | 18.01% | 18.93% | 19.19% | 19.52% | 18.67% | 19.37% | 20.97% | 23.80% | 24.06% | 24.34% | 23.91% | 17.63% | 12.93% | 6.33% | 0.09% | -14.38% | — | — | — | — | — | — | — | |||||||
| Exxon Mobil Corp. | 9.92% | 10.03% | 9.90% | 10.76% | 11.01% | 13.38% | 14.87% | 13.23% | 13.41% | 11.06% | 8.40% | 8.33% | -2.45% | -6.21% | -10.55% | -12.57% | — | — | — | — | — | — | — | |||||||
| Occidental Petroleum Corp. | 16.14% | 17.05% | 16.00% | 16.62% | 18.51% | 21.55% | 27.29% | 36.32% | 35.55% | 32.60% | 25.31% | 8.95% | -1.47% | -24.23% | -78.62% | -83.28% | — | — | — | — | — | — | — | |||||||
Based on: 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31).
1 Q3 2024 Calculation
Net profit margin = 100
× (Net income (loss) attributable to Valero Energy Corporation stockholdersQ3 2024
+ Net income (loss) attributable to Valero Energy Corporation stockholdersQ2 2024
+ Net income (loss) attributable to Valero Energy Corporation stockholdersQ1 2024
+ Net income (loss) attributable to Valero Energy Corporation stockholdersQ4 2023)
÷ (Revenues, includes excise taxes on sales by certain of foreign operationsQ3 2024
+ Revenues, includes excise taxes on sales by certain of foreign operationsQ2 2024
+ Revenues, includes excise taxes on sales by certain of foreign operationsQ1 2024
+ Revenues, includes excise taxes on sales by certain of foreign operationsQ4 2023)
= 100 × (364 + 880 + 1,245 + 1,202)
÷ (32,876 + 34,490 + 31,759 + 35,414)
= 2.74%
2 Click competitor name to see calculations.
The financial data reveals several notable trends in profitability and revenue generation over the periods analyzed.
- Net Income (Loss) Attributable to Stockholders
- The net income values exhibit significant volatility. Early periods show positive earnings with a peak in late 2019. However, a sharp decline occurs in the first quarter of 2020 with a substantial loss, coinciding with the onset of the global pandemic. Subsequently, there is a recovery marked by fluctuations, including both gains and losses through 2020 and into 2021.
- From 2021 onward, a consistent positive trend emerges, with profits growing markedly in 2022, reaching multi-billion dollar figures. The first half of 2022 features particularly strong performance, followed by continued profitability at slightly lower but still substantial levels through 2023 and into mid-2024. This indicates a robust recovery and expansion phase post-pandemic disruptions.
- Revenues (Including Excise Taxes)
- Revenues demonstrate a general upward trajectory pre-pandemic, peaking in late 2019. A marked reduction is evident in the first half of 2020, aligning with the global economic downturn. Revenue then gradually recovers through the latter part of 2020 and into 2021.
- Strong growth is visible from 2021 onwards, with revenues surging in 2022 to levels significantly higher than those recorded in prior years. There is some variability in 2023, with revenues showing both decreases and increases across quarters, but the overall trend remains robust, maintaining elevated revenue figures relative to the pandemic period.
- Net Profit Margin
- The net profit margin data, although partial, corroborate the patterns observed in net income and revenues. Margins were low or negative during the disruptive early months of 2020, reflecting reduced earnings relative to revenues.
- Starting from late 2021, margin percentages steadily improve, reaching over 7% in 2023. This improvement denotes enhanced earnings efficiency and profitability relative to sales. Margins show some moderation in 2024 quarters but remain positive, suggesting continued profitable operations.
Overall, the company's financial performance displays resilience and recovery after the pandemic-induced downturn, characterized by regained revenue strength and improved profitability metrics in subsequent periods. The upward trends in net income, revenues, and margins post-2020 illustrate effective management of challenges and favorable market conditions supporting growth.
Return on Equity (ROE)
Valero Energy Corp., ROE calculation (quarterly data)
| 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 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||||||||||||||||||||||||||
| Net income (loss) attributable to Valero Energy Corporation stockholders | 364) | 880) | 1,245) | 1,202) | 2,622) | 1,944) | 3,067) | 3,113) | 2,817) | 4,693) | 905) | 1,009) | 463) | 162) | (704) | (359) | (464) | 1,253) | (1,851) | 1,060) | 609) | 612) | 141) | |||||||
| Total Valero Energy Corporation stockholders’ equity | 25,253) | 25,443) | 26,057) | 26,346) | 25,975) | 25,851) | 24,977) | 23,561) | 21,912) | 20,969) | 18,821) | 18,430) | 17,476) | 17,651) | 17,801) | 18,801) | 19,223) | 19,847) | 18,842) | 21,803) | 21,107) | 21,345) | 21,309) | |||||||
| Profitability Ratio | ||||||||||||||||||||||||||||||
| ROE1 | 14.62% | 23.38% | 26.91% | 33.53% | 41.37% | 42.32% | 54.81% | 48.93% | 43.01% | 33.72% | 13.49% | 5.05% | -2.51% | -7.73% | -1.54% | -7.56% | -0.01% | 5.40% | 2.28% | 11.11% | — | — | — | |||||||
| Benchmarks | ||||||||||||||||||||||||||||||
| ROE, Competitors2 | ||||||||||||||||||||||||||||||
| Chevron Corp. | 10.68% | 11.76% | 12.64% | 13.28% | 15.41% | 19.05% | 22.44% | 22.27% | 21.53% | 18.92% | 14.02% | 11.24% | 7.29% | 2.69% | -5.89% | -4.21% | — | — | — | — | — | — | — | |||||||
| ConocoPhillips | 19.94% | 21.48% | 21.47% | 22.23% | 23.46% | 27.20% | 33.15% | 38.91% | 36.79% | 31.69% | 26.12% | 17.79% | 10.61% | 4.18% | 0.05% | -9.05% | — | — | — | — | — | — | — | |||||||
| Exxon Mobil Corp. | 12.55% | 12.73% | 15.98% | 17.58% | 19.09% | 24.48% | 29.54% | 27.04% | 27.87% | 21.97% | 15.24% | 13.67% | -3.67% | -8.41% | -12.17% | -14.28% | — | — | — | — | — | — | — | |||||||
| Occidental Petroleum Corp. | 12.63% | 14.42% | 14.02% | 15.52% | 18.51% | 23.35% | 32.79% | 44.22% | 44.97% | 39.51% | 29.49% | 11.42% | -1.73% | -25.93% | -70.84% | -79.85% | — | — | — | — | — | — | — | |||||||
Based on: 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31).
1 Q3 2024 Calculation
ROE = 100
× (Net income (loss) attributable to Valero Energy Corporation stockholdersQ3 2024
+ Net income (loss) attributable to Valero Energy Corporation stockholdersQ2 2024
+ Net income (loss) attributable to Valero Energy Corporation stockholdersQ1 2024
+ Net income (loss) attributable to Valero Energy Corporation stockholdersQ4 2023)
÷ Total Valero Energy Corporation stockholders’ equity
= 100 × (364 + 880 + 1,245 + 1,202)
÷ 25,253 = 14.62%
2 Click competitor name to see calculations.
The net income attributable to stockholders exhibits considerable volatility across the reported quarters. Initial quarters in 2019 show relatively stable positive earnings with occasional fluctuations. In early 2020, there is a sharp decline culminating in a significant loss in the first quarter of 2020, followed by recovery and fluctuating positive and negative quarters, indicative of a highly variable profitability environment. From mid-2021 onward, earnings generally trend upwards, with particularly notable gains seen in 2022, reaching peaks that substantially exceed earlier periods. The last four quarters continue to show positive income, albeit with some downward adjustments in the most recent quarter.
Stockholders’ equity demonstrates a relatively stable but gradually increasing trend over the entire period. Starting at approximately twenty-one billion USD in early 2019, equity remains near this level through 2020 despite earnings volatility, suggesting resilience or capital management to maintain equity. From 2021 onward, equity increasingly rises, reaching a peak in early 2023 just above twenty-six billion USD, before a slight decrease in subsequent quarters. The elevated equity level in recent periods aligns with improved profitability.
The Return on Equity (ROE) percentages, though incomplete in early periods, provide useful insights when available. The ROE shows negative or minimal returns during early 2020, coinciding with the period of net losses. From late 2020 through 2021, ROE fluctuates around low or negative values, reflecting unstable earnings performance. Starting in 2022, ROE significantly improves, surpassing 30% and even approaching nearly 55% in some quarters, indicating highly efficient use of equity to generate income. The most recent periods show a moderate decline in ROE but it remains strong, above 20%, which suggests sustained profitability despite some tapering.
Overall, the data reveal a period of financial stress and loss in early 2020, followed by a pronounced recovery and growth phase in subsequent years. Equity growth and elevated ROE levels in the recent quarters affirm strengthened financial performance and potential operational improvements or favorable market conditions. However, the net income fluctuations and the slight recent declines in ROE and equity warrant ongoing observation.
Return on Assets (ROA)
Valero Energy Corp., ROA calculation (quarterly data)
| 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 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||||||||||||||||||||||||||
| Net income (loss) attributable to Valero Energy Corporation stockholders | 364) | 880) | 1,245) | 1,202) | 2,622) | 1,944) | 3,067) | 3,113) | 2,817) | 4,693) | 905) | 1,009) | 463) | 162) | (704) | (359) | (464) | 1,253) | (1,851) | 1,060) | 609) | 612) | 141) | |||||||
| Total assets | 60,382) | 63,615) | 62,574) | 63,056) | 63,175) | 60,667) | 60,177) | 60,982) | 59,329) | 64,345) | 60,402) | 57,888) | 54,691) | 55,456) | 53,614) | 51,774) | 51,732) | 49,099) | 47,747) | 53,864) | 51,229) | 52,022) | 52,095) | |||||||
| Profitability Ratio | ||||||||||||||||||||||||||||||
| ROA1 | 6.11% | 9.35% | 11.21% | 14.01% | 17.01% | 18.03% | 22.75% | 18.90% | 15.88% | 10.99% | 4.20% | 1.61% | -0.80% | -2.46% | -0.51% | -2.74% | 0.00% | 2.18% | 0.90% | 4.50% | — | — | — | |||||||
| Benchmarks | ||||||||||||||||||||||||||||||
| ROA, Competitors2 | ||||||||||||||||||||||||||||||
| Chevron Corp. | 6.43% | 7.18% | 7.76% | 8.17% | 9.65% | 11.98% | 13.98% | 13.76% | 13.15% | 11.26% | 8.23% | 6.52% | 4.13% | 1.48% | -3.21% | -2.31% | — | — | — | — | — | — | — | |||||||
| ConocoPhillips | 10.29% | 11.13% | 11.10% | 11.42% | 11.96% | 14.43% | 17.32% | 19.91% | 19.04% | 16.98% | 13.78% | 8.91% | 5.36% | 2.17% | 0.02% | -4.31% | — | — | — | — | — | — | — | |||||||
| Exxon Mobil Corp. | 7.30% | 7.41% | 8.68% | 9.57% | 10.24% | 13.41% | 15.89% | 14.29% | 14.01% | 10.59% | 7.27% | 6.80% | -1.75% | -3.95% | -5.72% | -6.74% | — | — | — | — | — | — | — | |||||||
| Occidental Petroleum Corp. | 5.11% | 6.07% | 5.82% | 6.35% | 7.55% | 9.55% | 13.53% | 18.32% | 17.90% | 14.82% | 9.89% | 3.09% | -0.43% | -5.92% | -16.34% | -18.52% | — | — | — | — | — | — | — | |||||||
Based on: 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31).
1 Q3 2024 Calculation
ROA = 100
× (Net income (loss) attributable to Valero Energy Corporation stockholdersQ3 2024
+ Net income (loss) attributable to Valero Energy Corporation stockholdersQ2 2024
+ Net income (loss) attributable to Valero Energy Corporation stockholdersQ1 2024
+ Net income (loss) attributable to Valero Energy Corporation stockholdersQ4 2023)
÷ Total assets
= 100 × (364 + 880 + 1,245 + 1,202)
÷ 60,382 = 6.11%
2 Click competitor name to see calculations.
The financial data over the analyzed periods reveals significant fluctuations in net income attributable to stockholders, total assets, and return on assets (ROA). The net income demonstrates volatility, with marked declines followed by recovery phases. Similarly, total assets exhibit moderate variability but generally maintain a stable range. The ROA indicates improving profitability trends throughout the most recent intervals.
- Net Income (Loss)
- The net income attributable to stockholders exhibited considerable variation from March 2019 to September 2024. Initial quarters in 2019 show positive net income, peaking at 1,060 million USD in December 2019. This is followed by a sharp decline in early 2020, with a substantial loss of 1,851 million USD in March 2020, coinciding with global economic disruptions. Subsequent quarters display inconsistent recovery, with intermittent losses and gains.
- Starting from March 2021, the net income generally remained positive and showed strong growth, reaching a peak of 4,693 million USD in March 2022. Despite some fluctuations in the later quarters through 2023 and into 2024, net income remained positive, though showing a declining trend after the 2022 peak, ending at 364 million USD by September 2024.
- Total Assets
- Total assets fluctuated moderately throughout the period. At the beginning of 2019, total assets hovered around 52,000 to 54,000 million USD. A slight decrease was noted in mid-2020, coinciding with the period of net income decline. Post-2020, total assets generally trended upward, reaching a maximum around 64,345 million USD in June 2022.
- After mid-2022, total assets displayed some variability but mostly stabilized in the range of approximately 60,000 to 63,000 million USD through 2023 and mid-2024, indicating a relatively stable asset base despite income volatility.
- Return on Assets (ROA)
- ROA data is available from March 2020 onwards and shows an initial modest value of 4.5% that dropped sharply in the following quarters, dipping into negative territory during periods corresponding with net income losses in 2020. The lowest ROA values, below zero or slightly negative, align with the company’s recorded net losses during the same timeframe.
- From March 2021 onward, there is a consistent and substantial improvement in ROA, rising to 22.75% by December 2022. This improvement correlates with increased net income during similar intervals. However, from early 2023 onwards, ROA declines gradually, falling to 6.11% by June 2024, indicating reduced profitability relative to assets but remaining positive overall.
In summary, the financial patterns demonstrate resilience with a significant rebound after the downturn experienced in 2020. The company achieved peak profitability and returns on assets in 2022, followed by a moderation in performance indicators through 2023 and mid-2024. The fluctuations in net income are more pronounced compared to total asset levels, which remain relatively stable. The trends in ROA indicate that profitability relative to the asset base improved markedly post-2020 but has softened somewhat recently.