Altair Engineering Inc (ALTR)
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 | 80.11% | 80.11% | 79.70% | 80.64% | 80.12% | 78.98% | 78.65% | 78.56% | 78.52% | 77.95% | 77.38% | 76.40% | 75.63% | 75.31% | 75.08% | 75.39% | 74.19% | 72.72% | 71.77% | 70.98% |
| Operating profit margin | 2.54% | 4.42% | 3.44% | 2.58% | 0.04% | -1.42% | -3.80% | -2.22% | 0.47% | -1.17% | 3.00% | 2.74% | 2.32% | 2.86% | 2.65% | 3.65% | 2.49% | 1.85% | 0.32% | 0.55% |
| Pretax margin | 4.90% | 8.15% | 5.82% | 4.63% | 2.06% | -0.82% | -3.87% | -6.74% | -4.93% | -6.84% | -2.56% | 0.62% | -0.05% | 0.27% | 0.18% | 1.18% | 0.43% | -0.03% | -1.59% | -0.66% |
| Net profit margin | 2.13% | 5.10% | 4.26% | 1.55% | -1.46% | -2.75% | -7.74% | -9.84% | -7.59% | -10.30% | -5.73% | -2.15% | -1.65% | -0.99% | -1.10% | -0.44% | -2.23% | -3.08% | -4.76% | -3.14% |
Altair Engineering Inc has demonstrated a notable improvement in its profitability ratios over the period analyzed. The gross profit margin steadily increased from 70.98% on March 31, 2020, to 80.11% on December 31, 2024, indicating the company's ability to efficiently control its production costs.
Similarly, the operating profit margin rose from 0.55% on March 31, 2020, to 4.42% on September 30, 2024. This signifies an enhancement in the company's operational efficiency and management of expenses.
The pretax margin, which was negative at the beginning of the period, gradually improved to reach 8.15% on September 30, 2024. This suggests that Altair Engineering Inc was able to increase its profitability before accounting for taxes, despite facing challenges in the interim periods.
Lastly, the net profit margin also showed a positive trend, moving from negative percentages to 2.13% on December 31, 2024. This indicates that the company was able to generate profit relative to its revenue after accounting for all expenses, including taxes.
Overall, Altair Engineering Inc's profitability ratios reflect a successful trajectory of improvement over the analyzed period, showcasing enhanced efficiency and financial 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) | 1.17% | 2.07% | 1.61% | 1.16% | 0.02% | -0.68% | -1.77% | -1.05% | 0.22% | -0.57% | 1.47% | 1.31% | 1.06% | 1.48% | 1.65% | 2.18% | 1.41% | 1.10% | 0.20% | 0.35% |
| Return on assets (ROA) | 0.98% | 2.38% | 2.00% | 0.69% | -0.65% | -1.32% | -3.62% | -4.64% | -3.60% | -5.06% | -2.81% | -1.03% | -0.76% | -0.51% | -0.68% | -0.27% | -1.27% | -1.82% | -2.94% | -1.98% |
| Return on total capital | 4.04% | 5.64% | 3.96% | 3.07% | 1.57% | -1.21% | -4.10% | -7.01% | -5.37% | -5.77% | -1.05% | 2.26% | 2.41% | 2.91% | 4.24% | 5.41% | 3.23% | 2.22% | 0.20% | 0.74% |
| Return on equity (ROE) | 1.65% | 3.93% | 3.38% | 1.26% | -1.25% | -2.61% | -7.32% | -9.38% | -7.62% | -10.62% | -5.69% | -1.88% | -1.43% | -0.86% | -1.40% | -0.54% | -2.77% | -3.94% | -6.08% | -4.05% |
Altair Engineering Inc's profitability ratios have shown fluctuating trends over the past few years.
1. Operating return on assets (Operating ROA) experienced a gradual increase from March 31, 2020, to June 30, 2022, reaching its peak at 2.18%. However, it declined sharply in the subsequent quarters, with negative values recorded from September 30, 2022, onwards.
2. Return on assets (ROA) followed a similar pattern, starting with negative figures in the initial periods and gradually improving to positive values by June 30, 2024. The ratio peaked at 2.38% on September 30, 2024.
3. Return on total capital displayed a relatively volatile pattern, with significant fluctuations throughout the periods. The ratio ranged from -7.01% on March 31, 2023, to 5.64% on September 30, 2024, indicating varying capital efficiency over time.
4. Return on equity (ROE) showed a similar trend to ROA, starting with negative values and improving towards positive figures by June 30, 2024. The ratio reached its highest point at 3.93% on September 30, 2024.
Overall, Altair Engineering Inc's profitability ratios reflect a mix of positive and negative performance, highlighting the company's challenges in maximizing profitability and shareholder returns during the review period.