Amkor Technology Inc (AMKR)
Profitability ratios
Return on sales
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Gross profit margin | 14.56% | 18.87% | 20.14% | 18.08% | 16.03% |
| Operating profit margin | 7.26% | 12.73% | 12.54% | 9.18% | 5.75% |
| Pretax margin | 6.82% | 12.14% | 11.71% | 7.72% | 3.90% |
| Net profit margin | 5.56% | 10.86% | 10.57% | 6.79% | 2.98% |
AMKOR Technology Inc.'s profitability ratios have exhibited fluctuations over the past five years. Starting with the gross profit margin, which measures the proportion of revenue remaining after deducting direct production costs, the company experienced a decrease from 16.03% in 2019 to 14.50% in 2023. This downward trend may indicate challenges in controlling production costs or pricing pressures.
Moving on to the operating profit margin, which reflects the company's ability to generate profit from its core operations, AMKOR's margin decreased from 12.65% in 2022 to 7.23% in 2023. This suggests a decline in operational efficiency or an increase in operating expenses during the period.
Analyzing the pretax margin, which represents the proportion of pre-tax income to total revenue, AMKOR saw a decrease from 12.08% in 2022 to 6.83% in 2023. This could indicate a higher tax burden or a decline in profitability before taxes.
Lastly, looking at the net profit margin, which shows the percentage of revenue converted to net profit, AMKOR's margin decreased from 10.80% in 2022 to 5.53% in 2023. This decline suggests that the company's profitability after all expenses, including taxes and interest, decreased during the period.
In conclusion, AMKOR Technology Inc. faced challenges in maintaining its profitability ratios in 2023, as indicated by the declining trend across various margins. Further analysis of the company's cost structure, pricing strategies, and overall financial performance is recommended to identify the underlying factors contributing to these changes.
Return on investment
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 6.95% | 13.15% | 12.64% | 9.10% | 4.97% |
| Return on assets (ROA) | 5.31% | 11.23% | 10.65% | 6.73% | 2.57% |
| Return on total capital | 9.94% | 19.22% | 19.45% | 13.46% | 7.13% |
| Return on equity (ROE) | 9.08% | 20.87% | 21.85% | 14.54% | 6.16% |
AMKOR Technology Inc. has seen fluctuations in its profitability ratios over the past five years.
- Operating return on assets (Operating ROA) has ranged from 4.90% in 2019 to 13.15% in 2022. In 2023, it decreased to 6.95%. This ratio indicates that the company generated profits from its operating activities, with the highest performance seen in 2022.
- Return on assets (ROA) also varied, ranging from 2.57% in 2019 to 11.23% in 2022. In 2023, it was 5.31%. ROA measures overall profitability by indicating how efficiently the company is utilizing its assets to generate earnings.
- Return on total capital experienced fluctuations, with the highest value of 18.57% in 2021 and the lowest value of 6.73% in 2019. In 2023, it was 9.00%. This ratio assesses the company's ability to generate returns for both equity and debt holders.
- Return on equity (ROE) varied significantly, ranging from 6.16% in 2019 to 20.87% in 2022. In 2023, the ROE was 9.08%. ROE reflects the profitability from the equity shareholders' perspective, showing the return they receive on their investment.
Overall, AMKOR Technology Inc. has shown profitability over the years, with some fluctuations in its profitability ratios. Investors and stakeholders should consider these ratios alongside other financial metrics to gain a comprehensive understanding of the company's financial performance.