Albany International Corporation (AIN)
Profitability ratios
Return on sales
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Gross profit margin | 32.65% | 36.36% | 37.66% | 40.72% | 41.20% |
| Operating profit margin | 10.67% | 15.01% | 17.49% | 19.16% | 18.44% |
| Pretax margin | 9.51% | 13.98% | 12.75% | 17.86% | 15.44% |
| Net profit margin | 7.12% | 9.68% | 9.25% | 12.75% | 10.95% |
Albany International Corporation's profitability ratios have shown a declining trend over the five-year period from 2020 to 2024.
The gross profit margin, which indicates the percentage of revenue left after deducting the cost of goods sold, decreased from 41.20% in 2020 to 32.65% in 2024. This decline suggests that the company's ability to control production costs or command higher prices has weakened over time.
Similarly, the operating profit margin, which measures the company's ability to generate profits from its core operations, decreased from 18.44% in 2020 to 10.67% in 2024. This indicates that Albany International Corporation may be facing challenges in managing its operating expenses efficiently.
The pretax margin, representing the profitability before taxes, also saw a downward trend from 15.44% in 2020 to 9.51% in 2024. This suggests that the company's overall profitability has been gradually eroding over the years.
Lastly, the net profit margin, which indicates the percentage of revenue that translates into net income, declined from 10.95% in 2020 to 7.12% in 2024. This decrease highlights the company's diminishing bottom-line profitability.
Overall, the decreasing trend in Albany International Corporation's profitability ratios raises concerns about its operational efficiency, cost management, and overall financial performance over the years.
Return on investment
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 7.97% | 9.39% | 11.02% | 11.44% | 10.72% |
| Return on assets (ROA) | 5.31% | 6.06% | 5.83% | 7.61% | 6.36% |
| Return on total capital | 14.17% | 18.84% | 17.34% | 20.23% | 18.47% |
| Return on equity (ROE) | 9.29% | 11.56% | 11.10% | 13.56% | 12.08% |
Albany International Corporation's profitability ratios show a mixed performance over the past five years.
- Operating return on assets (Operating ROA) has fluctuated, with a peak of 11.44% in 2021 and a low of 7.97% in 2024. This ratio indicates the company's ability to generate profits from its operational assets, and despite fluctuations, it has generally shown a positive trend.
- Return on assets (ROA) has also varied, with a peak of 7.61% in 2021 and a low of 5.31% in 2024. ROA measures the company's overall efficiency in generating profits from its total assets, and the fluctuation in this ratio suggests potential challenges in asset utilization.
- Return on total capital has shown a decline from 20.23% in 2021 to 14.17% in 2024. This ratio reflects the efficiency of the company in generating returns for both debt and equity investors, and the decreasing trend indicates a potential decrease in overall capital efficiency.
- Return on equity (ROE) has also shown a decreasing trend, from 13.56% in 2021 to 9.29% in 2024. ROE measures the return on shareholders' equity investment, and the decline suggests a lower profitability relative to shareholder investment.
Overall, Albany International Corporation's profitability ratios demonstrate fluctuations and declining trends in recent years, indicating potential challenges in effectively utilizing assets and generating returns for both operational and investor capital.