Abbott Laboratories (ABT)
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 | 20.40% | 19.37% | 19.82% | 21.25% | 23.61% | 26.44% | 28.81% | 28.32% | 27.27% | 27.78% | 26.34% | 26.35% | 24.26% | 30.49% | 37.04% | 44.41% | 53.32% | 53.26% | 53.24% | 52.71% |
| Operating profit margin | 16.43% | 15.26% | 15.47% | 17.01% | 19.40% | 21.21% | 22.68% | 20.98% | 19.80% | 20.30% | 18.71% | 18.23% | 15.72% | 13.56% | 12.96% | 14.40% | 14.44% | 13.97% | 13.54% | 12.58% |
| Pretax margin | 16.90% | 15.74% | 15.85% | 17.09% | 19.27% | 20.94% | 22.32% | 20.56% | 19.30% | 19.81% | 18.15% | 17.34% | 14.65% | 12.07% | 11.36% | 12.96% | 12.99% | 12.27% | 11.25% | 10.31% |
| Net profit margin | 14.51% | 13.13% | 13.04% | 14.19% | 16.09% | 17.73% | 19.00% | 17.56% | 16.62% | 17.34% | 16.06% | 15.55% | 13.19% | 10.63% | 10.03% | 11.32% | 11.75% | 10.67% | 9.55% | 8.72% |
Abbott Laboratories' profitability ratios have experienced some fluctuations over the past eight quarters. The gross profit margin has shown a decreasing trend from the fourth quarter of 2022 to the fourth quarter of 2023, indicating a slight decline in the company's ability to control production costs.
Similarly, the operating profit margin has also shown a downward trend over the same period, reflecting a decrease in operational efficiency and profitability of the company's core business activities.
The pretax margin, which indicates the company's profitability before taxes, has followed a similar pattern of decline over the eight quarters under review.
The net profit margin, representing the company's overall profitability after all expenses have been deducted, has shown a consistent downward trend over the same period, indicating a decrease in Abbott Laboratories' bottom-line profitability.
Overall, the profitability ratios suggest that Abbott Laboratories may be facing challenges in maintaining and improving its profitability levels, which could be an area of concern for investors and stakeholders.
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) | 8.85% | 8.33% | 8.35% | 9.43% | 11.23% | 12.96% | 13.76% | 12.47% | 11.20% | 11.49% | 10.14% | 9.22% | 7.38% | 6.25% | 5.84% | 6.82% | 6.68% | 6.29% | 6.00% | 5.59% |
| Return on assets (ROA) | 7.82% | 7.16% | 7.04% | 7.87% | 9.31% | 10.84% | 11.53% | 10.44% | 9.40% | 9.82% | 8.70% | 7.86% | 6.20% | 4.90% | 4.52% | 5.36% | 5.43% | 4.80% | 4.23% | 3.88% |
| Return on total capital | 13.99% | 13.13% | 13.30% | 14.67% | 17.31% | 19.32% | 19.86% | 18.24% | 16.47% | 16.99% | 15.09% | 13.56% | 10.79% | 8.88% | 8.46% | 10.07% | 9.94% | 9.05% | 8.16% | 7.77% |
| Return on equity (ROE) | 14.83% | 13.77% | 13.88% | 15.68% | 18.90% | 22.11% | 23.44% | 21.82% | 19.75% | 21.04% | 18.86% | 17.06% | 13.71% | 10.78% | 10.17% | 11.84% | 11.86% | 10.35% | 9.14% | 8.48% |
Abbott Laboratories' profitability ratios have exhibited some fluctuations over the past few quarters. The Operating Return on Assets (Operating ROA) has been relatively stable, ranging from 8.35% to 9.43% in the recent quarters, indicating the company's ability to generate operating income relative to its total assets.
The Return on Assets (ROA) has shown a similar trend, with figures fluctuating between 7.04% and 7.87%. This ratio reflects the company's overall ability to generate profit from its assets.
The Return on Total Capital has also experienced variability, ranging from 11.32% to 15.64%. This ratio provides insights into how effectively Abbott Laboratories is utilizing both debt and equity to generate profits.
The Return on Equity (ROE) has displayed a downtrend over the recent quarters, declining from 18.90% to 14.83%. ROE indicates the company's profitability from the perspective of its shareholders' equity.
Overall, while Abbott Laboratories has demonstrated consistent operational efficiency with stable Operating ROA and ROA, there may be opportunities to optimize the utilization of total capital and enhance returns to equity holders for sustained growth and profitability in the future.