Alcoa Corp (AA)
Profitability ratios
Return on sales
| 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit margin | 2.79% | 1.23% | 2.06% | 7.59% | 14.04% | 26.79% | 30.75% | 31.41% | 28.14% | 37.95% | 36.32% | 33.87% | 31.11% | 31.44% | 31.60% | 54.54% | 74.29% | 75.14% | 93.29% | 92.01% |
| Operating profit margin | -1.45% | -3.15% | -2.07% | 3.77% | 10.64% | 32.78% | 36.54% | 37.56% | 34.67% | 36.58% | 34.86% | 32.40% | 29.23% | 29.57% | 29.35% | 52.10% | 68.77% | 68.84% | 86.23% | 83.71% |
| Pretax margin | -6.17% | -6.44% | -10.93% | -2.71% | 4.39% | 5.15% | 13.97% | 11.89% | 8.85% | 10.46% | 6.68% | 1.29% | 0.19% | -2.69% | -3.89% | -5.02% | -6.88% | -2.20% | 1.10% | 4.52% |
| Net profit margin | -6.20% | -8.52% | -13.65% | -7.02% | -1.00% | -0.93% | 7.34% | 5.85% | 3.59% | 7.32% | 4.13% | -0.77% | -1.85% | -5.09% | -6.80% | -8.47% | -10.89% | -6.86% | -4.60% | -1.11% |
Alcoa Corp's profitability ratios have exhibited significant fluctuations over the past eight quarters. The gross profit margin has shown a declining trend, starting at 28.10% in Q1 2022 and dropping to 6.99% in Q4 2023. This is indicative of a decrease in the company's ability to generate profits after accounting for the cost of goods sold.
Similarly, the operating profit margin has also been on a downward trajectory, moving from 20.99% in Q1 2022 to -3.67% in Q4 2023. This suggests that Alcoa Corp's operational efficiency has deteriorated, resulting in a negative margin in the most recent quarter.
The pretax margin followed a similar pattern, declining from 13.12% in Q1 2022 to -5.54% in Q4 2023. This indicates that the company's profitability before accounting for taxes has worsened over the period under review.
Lastly, the net profit margin, reflecting the company's bottom line profitability, has seen fluctuations with negative margins in the last four quarters. The net profit margin dropped from 5.75% in Q1 2022 to -6.17% in Q4 2023, highlighting Alcoa Corp's challenges in generating profits after all expenses are accounted for.
In summary, Alcoa Corp's profitability ratios have shown a concerning decline over the past eight quarters, with decreasing margins across all levels of profitability, indicating operational challenges and potential financial strain.
Return on investment
| 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | -1.07% | -2.38% | -1.59% | 3.08% | 8.89% | 28.32% | 30.50% | 29.02% | 27.59% | 28.77% | 25.19% | 21.04% | 18.05% | 19.13% | 20.80% | 38.13% | 48.54% | 52.72% | 67.84% | 68.08% |
| Return on assets (ROA) | -4.60% | -6.44% | -10.43% | -5.73% | -0.83% | -0.81% | 6.13% | 4.52% | 2.86% | 5.75% | 2.99% | -0.50% | -1.14% | -3.29% | -4.82% | -6.20% | -7.69% | -5.26% | -3.62% | -0.90% |
| Return on total capital | -9.04% | -9.05% | -16.18% | -3.23% | 9.40% | 10.85% | 26.69% | 26.12% | 19.58% | 24.60% | 14.87% | 5.18% | 2.82% | -1.92% | -4.43% | -6.25% | -9.96% | -1.99% | 3.84% | 10.25% |
| Return on equity (ROE) | -15.31% | -19.87% | -30.44% | -17.55% | -2.42% | -2.23% | 17.00% | 15.79% | 9.18% | 21.07% | 11.44% | -2.31% | -5.13% | -13.81% | -17.30% | -19.79% | -27.36% | -16.99% | -11.36% | -2.79% |
Alcoa Corp's profitability ratios have shown a declining trend over the past eight quarters. Operating return on assets (Operating ROA) has decreased from 18.08% in Q2 2022 to -2.73% in Q4 2023, indicating a deterioration in the company's ability to generate operating profits from its assets.
Return on assets (ROA) also exhibited a negative performance, with a range from -10.43% in Q2 2023 to -0.83% in Q4 2022. This suggests a continued struggle in generating profits relative to the total assets employed in the business.
Return on total capital declined from 42.05% in Q1 2022 to -6.38% in Q4 2023, indicating that the company's ability to generate returns from all forms of capital has significantly decreased.
Return on equity (ROE) experienced a similar downward trajectory, with values ranging from -30.44% in Q2 2023 to -2.42% in Q4 2022. This implies a weakened ability to generate profits for the shareholders based on their equity investments in the company.
Overall, Alcoa Corp's profitability ratios reflect a concerning trend of decreasing profitability and inefficiency in utilizing assets and capital to generate returns for the company and its shareholders.