Amphastar P (AMPH)
Profitability ratios
Return on sales
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Gross profit margin | 51.08% | 54.49% | 49.87% | 45.63% | 40.97% |
| Operating profit margin | 28.06% | 30.57% | 21.54% | 15.96% | 3.13% |
| Pretax margin | 25.85% | 26.28% | 23.02% | 18.90% | 1.41% |
| Net profit margin | 21.79% | 21.34% | 18.31% | 14.19% | 0.40% |
Based on the provided data, we can analyze the profitability ratios of Amphastar P over the years 2020 to 2024 as follows:
1. Gross Profit Margin:
- The gross profit margin has shown a positive trend, increasing from 40.97% in 2020 to 51.08% in 2024.
- This indicates that the company has been able to effectively control its production costs and improve its pricing strategies, leading to higher profitability on its products.
2. Operating Profit Margin:
- The operating profit margin has also exhibited growth over the period, rising from 3.13% in 2020 to 28.06% in 2024.
- This suggests that the company has achieved efficiencies in its operating expenses, generating more operating income relative to its revenue.
3. Pre-Tax Margin:
- The pre-tax margin has steadily increased from 1.41% in 2020 to 25.85% in 2024.
- This indicates that the company has been able to manage its tax liabilities efficiently while improving its profitability before taxes.
4. Net Profit Margin:
- The net profit margin has shown a positive trend, increasing from 0.40% in 2020 to 21.79% in 2024.
- This demonstrates the company's ability to generate more net income relative to its revenue over the years.
Overall, the improving trend in all profitability ratios highlights the company's ability to enhance profitability, control costs, and manage its operations effectively, indicating a positive financial performance for Amphastar P during the period under review.
Return on investment
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 13.02% | 13.02% | 14.49% | 10.41% | 1.74% |
| Return on assets (ROA) | 10.11% | 9.09% | 12.32% | 9.25% | 0.22% |
| Return on total capital | 15.26% | 15.82% | 19.28% | 15.97% | 1.19% |
| Return on equity (ROE) | 21.78% | 21.51% | 17.29% | 13.94% | 0.35% |
Amphastar P has demonstrated a consistent improvement in its profitability ratios over the years.
- Operating return on assets (Operating ROA) has shown significant growth, increasing from 1.74% in December 31, 2020, to 14.49% in December 31, 2022. This indicates that the company's operating income generated per dollar of assets has been on an upward trend.
- Return on assets (ROA) has also exhibited a positive trajectory, rising from 0.22% in December 31, 2020, to 10.11% in December 31, 2024. This ratio reflects the company's overall ability to generate profit from its assets.
- Return on total capital has shown a steady increase, growing from 1.19% in December 31, 2020, to 15.26% in December 31, 2024. This metric represents how efficiently the company is utilizing all forms of capital available to generate returns.
- Return on equity (ROE) has demonstrated a consistent uptrend, climbing from 0.35% in December 31, 2020, to 21.78% in December 31, 2024. ROE measures the return on shareholders' equity, showcasing the company's profitability in relation to the shareholders' investments.
Overall, the profitability ratios of Amphastar P highlight its improving efficiency in generating profits from its assets, capital, and equity, signifying positive performance and potential financial sustainability.