Apple Inc (AAPL)
Profitability ratios
Return on sales
| Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | |
|---|---|---|---|---|---|
| Gross profit margin | 46.21% | 44.59% | 43.63% | 42.08% | 38.64% |
| Operating profit margin | 31.51% | 30.13% | 30.52% | 30.00% | 24.40% |
| Pretax margin | 31.58% | 29.98% | 30.43% | 30.07% | 24.70% |
| Net profit margin | 23.97% | 25.57% | 25.50% | 26.07% | 21.13% |
Apple Inc's profitability ratios have shown overall positive trends over the past five years. The gross profit margin has steadily improved, indicating efficient production and cost management. The operating profit margin has also consistently increased, reflecting effective operational efficiencies and control over expenses.
Moreover, the pretax margin, which measures profitability before taxes, has shown a stable performance with a slight uptrend. This suggests that Apple has been successful in generating profits from its core operations while effectively managing tax implications.
The net profit margin, reflecting the company's bottom-line profitability, has demonstrated an increasing trend over the years, indicating Apple's ability to generate higher profits relative to its revenue. This trend suggests that Apple has been successful in optimizing its profitability through revenue growth and cost control measures.
Overall, Apple Inc's profitability ratios paint a picture of a company that has been successful in enhancing its profitability margins over the years, indicating strong operational performance and financial management.
Return on investment
| Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 33.76% | 32.42% | 33.86% | 31.04% | 20.47% |
| Return on assets (ROA) | 25.68% | 27.51% | 28.29% | 26.97% | 17.73% |
| Return on total capital | 86.35% | 74.75% | 81.56% | 64.96% | 42.66% |
| Return on equity (ROE) | 164.59% | 156.08% | 196.96% | 150.07% | 87.87% |
Apple Inc's profitability ratios have shown a positive trend over the past five years, indicating strong financial performance. The Operating Return on Assets (Operating ROA) has consistently increased from 20.47% in 2020 to 33.76% in 2024, reflecting efficient management of assets to generate operating profits.
Similarly, the Return on Assets (ROA) and Return on Total Capital have also improved over the years, with ROA ranging from 17.73% in 2020 to 25.68% in 2024 and Return on Total Capital increasing from 42.66% in 2020 to 86.35% in 2024. These ratios suggest that Apple has been effectively utilizing its assets and capital to generate profits for the shareholders.
The Return on Equity (ROE) has shown significant growth, starting at 87.87% in 2020 and reaching 164.59% in 2024. This indicates that Apple has been successful in generating high returns for its shareholders relative to the equity invested in the company.
Overall, Apple's profitability ratios demonstrate a solid financial performance and efficient utilization of resources, reflecting positively on its ability to generate profits for its investors.