The AES Corporation (AES)
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 | 19.77% | 20.16% | 19.66% | 20.09% | 20.19% | 20.64% | 20.55% | 22.69% | 24.33% | 27.98% | 29.25% | 28.62% | 27.88% | 24.62% | 23.85% | 22.98% | 23.05% | 23.46% | 22.71% | 23.51% |
| Operating profit margin | -0.69% | 2.97% | 5.88% | 6.19% | 6.06% | 12.47% | 12.24% | 10.89% | 8.21% | 11.55% | 4.10% | 11.07% | 14.72% | 11.29% | 19.57% | 17.43% | 17.74% | 18.25% | 16.69% | 17.99% |
| Pretax margin | 4.03% | -2.37% | -0.59% | -1.79% | -2.23% | -2.41% | -3.36% | -2.00% | -4.86% | 7.11% | -1.65% | -1.11% | 2.71% | -2.57% | 5.98% | 6.27% | 6.43% | 9.73% | 8.66% | 11.88% |
| Net profit margin | 1.97% | -4.39% | -2.86% | -3.92% | -4.33% | -2.23% | -3.01% | -1.29% | -3.67% | 4.95% | -1.29% | -2.47% | 0.48% | -3.67% | 2.01% | 2.97% | 2.97% | 4.90% | 3.78% | 6.32% |
The profitability ratios of AES Corp. over the past eight quarters show varying levels of performance. The gross profit margin, which measures the company's ability to generate profit from its core operations, has ranged from 19.66% to 20.64%. It experienced a slight decrease in Q4 2023 compared to the previous quarters.
The operating profit margin, which indicates how efficiently the company is running its operations after accounting for operating expenses, fluctuated between 17.75% and 21.17%. Similar to the gross profit margin, it saw a decline in Q4 2023 compared to previous quarters.
The pretax margin, reflecting the company's profitability before accounting for taxes, showed a mixed trend with positive and negative values. Although it improved in Q4 2023 compared to preceding quarters, it remained relatively low.
The net profit margin, which represents the company's bottom line profitability after all expenses have been deducted, also fluctuated over the eight quarters, ranging from -4.39% to 1.97%. Notably, there was a positive turn in Q4 2023, indicating a better performance in terms of net profitability compared to the previous quarters.
Overall, AES Corp. has shown some instability in its profitability margins in recent quarters, with mixed performances across different profitability metrics. Analyzing the trends and the factors influencing these ratios could provide insights into the company's financial health and operational efficiency.
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) | -0.19% | 0.88% | 1.84% | 2.05% | 1.99% | 4.07% | 3.98% | 3.57% | 2.78% | 3.60% | 1.23% | 3.13% | 4.11% | 3.14% | 5.44% | 5.04% | 5.37% | 5.67% | 5.32% | 5.72% |
| Return on assets (ROA) | 0.56% | -1.30% | -0.89% | -1.30% | -1.42% | -0.73% | -0.98% | -0.42% | -1.24% | 1.54% | -0.39% | -0.70% | 0.13% | -1.02% | 0.56% | 0.86% | 0.90% | 1.52% | 1.20% | 2.01% |
| Return on total capital | 73.51% | 34.83% | 45.91% | 40.47% | 34.30% | 22.24% | 20.93% | 24.70% | 13.19% | 50.06% | 25.79% | 26.18% | 49.35% | 37.82% | 62.47% | 64.47% | 56.91% | 65.45% | 61.32% | 71.27% |
| Return on equity (ROE) | 10.01% | -20.15% | -14.85% | -21.59% | -22.40% | -8.07% | -11.79% | -4.80% | -14.62% | 15.54% | -4.13% | -7.28% | 1.75% | -17.47% | 7.84% | 11.54% | 10.11% | 16.21% | 12.47% | 20.81% |
AES Corp.'s profitability ratios indicate fluctuating performance over the past eight quarters.
Firstly, the Operating Return on Assets (Operating ROA) has generally been hovering between 5% and 6.94%, with a slight decline in recent quarters. This ratio reflects the company's ability to generate profits from its assets before interest and taxes, showing a stable operational efficiency.
In contrast, the Return on Assets (ROA) has shown more variability, ranging from -1.42% to 0.56%. This metric suggests that the company's net income relative to its total assets has been inconsistent and, at times, negative. The negative figures in some quarters indicate that the company may not be effectively utilizing its assets to generate profits.
The Return on Total Capital has also exhibited fluctuations, ranging from 7.50% to 10.21%. This ratio reveals the company's ability to generate returns for both debt and equity investors. Despite the variability, the company has maintained relatively decent returns on its total capital over the quarters.
Lastly, the Return on Equity (ROE) has shown significant variation, with a range from -22.40% to 10.01%. The negative figures in some quarters indicate that the company's profitability in relation to shareholders' equity has been volatile. It is worth noting that negative ROE figures can signal financial distress or poor operational performance.
Overall, while AES Corp. has demonstrated stable operational efficiency, its overall profitability has shown inconsistency and volatility in generating returns for both assets and equity investors. Further analysis of the factors influencing these ratios would be necessary to provide a more detailed assessment of the company's financial performance.