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Valmet Oyj (CHIX:VALMTH) Return-on-Tangible-Equity : Negative Tangible Equity% (As of Mar. 2025)


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What is Valmet Oyj Return-on-Tangible-Equity?

Return-on-Tangible-Equity is calculated as Net Income divided by its average total shareholder tangible equity. Total shareholder tangible equity equals to Total Stockholders Equity minus Intangible Assets. Valmet Oyj's annualized net income for the quarter that ended in Mar. 2025 was €244 Mil. Valmet Oyj's average shareholder tangible equity for the quarter that ended in Mar. 2025 was €-409 Mil. Therefore, Valmet Oyj's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2025 was Negative Tangible Equity%.

The historical rank and industry rank for Valmet Oyj's Return-on-Tangible-Equity or its related term are showing as below:

CHIX:VALMTh' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 59.32   Med: 173.95   Max: 410
Current: Negative Tangible Equity

During the past 13 years, Valmet Oyj's highest Return-on-Tangible-Equity was 410.00%. The lowest was 59.32%. And the median was 173.95%.

CHIX:VALMTh's Return-on-Tangible-Equity is ranked better than
99.97% of 2928 companies
in the Industrial Products industry
Industry Median: 6.69 vs CHIX:VALMTh: Negative Tangible Equity

Valmet Oyj Return-on-Tangible-Equity Historical Data

The historical data trend for Valmet Oyj's Return-on-Tangible-Equity can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

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Valmet Oyj Return-on-Tangible-Equity Chart

Valmet Oyj Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Return-on-Tangible-Equity
Get a 7-Day Free Trial Premium Member Only Premium Member Only 182.61 124.37 385.14 Negative Tangible Equity Negative Tangible Equity

Valmet Oyj Quarterly Data
Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25
Return-on-Tangible-Equity Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Negative Tangible Equity Negative Tangible Equity Negative Tangible Equity Negative Tangible Equity Negative Tangible Equity

Competitive Comparison of Valmet Oyj's Return-on-Tangible-Equity

For the Specialty Industrial Machinery subindustry, Valmet Oyj's Return-on-Tangible-Equity, along with its competitors' market caps and Return-on-Tangible-Equity data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Valmet Oyj's Return-on-Tangible-Equity Distribution in the Industrial Products Industry

For the Industrial Products industry and Industrials sector, Valmet Oyj's Return-on-Tangible-Equity distribution charts can be found below:

* The bar in red indicates where Valmet Oyj's Return-on-Tangible-Equity falls into.


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Valmet Oyj Return-on-Tangible-Equity Calculation

Valmet Oyj's annualized Return-on-Tangible-Equity for the fiscal year that ended in Dec. 2024 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(A: Dec. 2024 )  (A: Dec. 2023 )(A: Dec. 2024 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets )/ count )
(A: Dec. 2024 )  (A: Dec. 2023 )(A: Dec. 2024 )
=280/( (-312+-327 )/ 2 )
=280/-319.5
=Negative Tangible Equity %

Valmet Oyj's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2025 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Mar. 2025 )  (Q: Dec. 2024 )(Q: Mar. 2025 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Mar. 2025 )  (Q: Dec. 2024 )(Q: Mar. 2025 )
=244/( (-327+-490)/ 2 )
=244/-408.5
=Negative Tangible Equity %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

In the calculation of annual Return-on-Tangible-Equity, the net income of the last fiscal year and the average total shareholder tangible equity over the fiscal year are used. In calculating the quarterly data, the net income data used here is four times the quarterly (Mar. 2025) net income data. Return-on-Tangible-Equity is displayed in the 10-year financial page.


Valmet Oyj  (CHIX:VALMTh) Return-on-Tangible-Equity Explanation

Return-on-Tangible-Equity measures the rate of return on the ownership interest (shareholder's tangible equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' tangible equity (shareholders equity minus intangibles). Return-on-Tangible-Equity shows how well a company uses investment funds to generate earnings growth. Return-on-Tangible-Equitys between 15% and 20% are considered desirable.


Be Aware

Net Income is used.

Because a company can increase its Return-on-Tangible-Equity by having more financial leverage, it is important to watch the leverage ratio when investing in high Return-on-Tangible-Equity companies. Like Return-on-Tangible-Asset, Return-on-Tangible-Equity is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.

Asset light businesses require very few assets to generate very high earnings. Their Return-on-Tangible-Equitys can be extremely high.


Valmet Oyj Return-on-Tangible-Equity Related Terms

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Valmet Oyj Business Description

Traded in Other Exchanges
Address
Keilasatama 5, P.O. Box 11, Espoo, FIN, 02150
Valmet Oyj is a Finland-based company that supplies technologies, automation solutions, and other services to customers in the pulp, paper, and energy industries. The company has three segments: Services, Automation and Process Technologies. The company generates maximum revenue from the Process Technologies segment. The Process Technologies segment provides technology solutions for pulp and energy production, as well as for biomass conversion and emission control. Geographically, it derives a majority of revenue from EMEA.

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