Allegion PLC (ALLE)
Profitability ratios
Return on sales
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit margin | 44.23% | 43.96% | 43.77% | 43.68% | 43.32% | 42.79% | 41.86% | 41.04% | 40.42% | 40.33% | 40.74% | 41.30% | 42.02% | 42.91% | 43.39% | 43.19% | 43.34% | 43.44% | 43.72% | 44.14% |
| Operating profit margin | 20.70% | 20.30% | 19.97% | 19.59% | 19.40% | 19.59% | 18.77% | 18.45% | 17.92% | 17.38% | 17.71% | 17.81% | 18.49% | 18.46% | 19.15% | 18.47% | 14.84% | 15.82% | 15.99% | 16.91% |
| Pretax margin | 18.52% | 18.08% | 17.66% | 17.19% | 16.91% | 17.17% | 16.18% | 15.99% | 15.72% | 15.99% | 17.31% | 17.56% | 18.27% | 17.51% | 18.10% | 17.37% | 13.43% | 13.17% | 12.74% | 13.63% |
| Net profit margin | 15.84% | 15.36% | 15.08% | 14.93% | 14.80% | 15.41% | 14.27% | 14.07% | 14.00% | 13.96% | 15.89% | 16.16% | 16.84% | 16.06% | 16.12% | 15.40% | 11.56% | 11.12% | 10.48% | 11.21% |
Allegion PLC's profitability ratios have shown some fluctuations over the past few years.
1. Gross Profit Margin: The gross profit margin has been on a declining trend from 44.14% in March 2020 to 44.23% in December 2024. This indicates a decrease in the company's ability to generate profits after accounting for the cost of goods sold.
2. Operating Profit Margin: The operating profit margin has also experienced fluctuations, with periods of increase and decrease. The margin increased from 16.91% in March 2020 to 20.70% in December 2024. This suggests that Allegion PLC was able to improve its operational efficiency and control operating expenses over the years.
3. Pre-tax Margin: The pre-tax margin has shown some volatility, starting at 13.63% in March 2020, peaking at 18.52% in December 2024. This indicates changes in the company's ability to generate profits before accounting for taxes over the period.
4. Net Profit Margin: The net profit margin has also exhibited fluctuations, ranging from 10.48% in June 2020 to 15.84% in December 2024. Despite the variations, the net profit margin generally increased over the years, reflecting Allegion PLC's ability to manage its expenses effectively and improve profitability.
Overall, while the gross profit margin has declined, the operating, pre-tax, and net profit margins have shown improvements or fluctuations over the years, indicating changes in Allegion PLC's profitability performance.
Return on investment
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 17.40% | 15.20% | 15.36% | 16.55% | 16.43% | 16.93% | 16.28% | 15.53% | 14.69% | 13.75% | 14.17% | 17.15% | 17.38% | 17.10% | 18.13% | 17.16% | 13.15% | 14.17% | 15.41% | 17.62% |
| Return on assets (ROA) | 13.31% | 11.50% | 11.59% | 12.61% | 12.53% | 13.32% | 12.38% | 11.84% | 11.48% | 11.04% | 12.71% | 15.56% | 15.83% | 14.87% | 15.26% | 14.31% | 10.24% | 9.96% | 10.11% | 11.68% |
| Return on total capital | 53.36% | 49.21% | 52.11% | 52.91% | 53.88% | 57.98% | 59.47% | 61.68% | 62.51% | 71.09% | 72.15% | 75.32% | 75.31% | 64.17% | 73.23% | 72.34% | 50.22% | 49.67% | 59.47% | 73.12% |
| Return on equity (ROE) | 39.81% | 36.41% | 38.88% | 40.03% | 40.99% | 45.22% | 45.19% | 46.89% | 48.49% | 54.88% | 59.78% | 63.11% | 63.35% | 53.63% | 59.55% | 57.98% | 37.89% | 36.60% | 42.27% | 52.67% |
Based on the provided data, we can analyze the profitability ratios of Allegion PLC as follows:
1. Operating Return on Assets (Operating ROA): This ratio shows the company's operating income generated from each dollar of total assets. Allegion PLC's Operating ROA fluctuated between 13.75% to 18.13% over the last five quarters, with an average of approximately 16%. The company has maintained a relatively stable performance in terms of generating operating income from its assets.
2. Return on Assets (ROA): ROA measures the company's overall profitability by showing how efficiently it utilizes its assets to generate profit. Allegion PLC's ROA ranged from 11.50% to 15.83% in the last year, with an average of around 13%. The company's ability to generate profits from its total assets has shown some fluctuations but has generally remained above 10%.
3. Return on Total Capital: This ratio indicates the return generated on all capital invested in the company. Allegion PLC's Return on Total Capital varied from 49.21% to 75.32% over the past year, with an average of approximately 63%. The company's performance in terms of generating returns on total capital has been volatile but generally strong, reflecting efficient capital allocation.
4. Return on Equity (ROE): ROE shows how much profit a company generates with each dollar of shareholders' equity. Allegion PLC's ROE fluctuated between 36.41% and 63.35% in the last year, averaging around 50%. The company has maintained a solid performance in terms of generating returns for its shareholders, although there have been fluctuations in profitability.
In summary, Allegion PLC has demonstrated stable profitability levels over the past year, with the company efficiently utilizing its assets and capital to generate returns for both its operations and shareholders. However, some fluctuations in profitability ratios indicate the need for monitoring and proactive management to sustain and improve profitability in the future.