AutoNation Inc (AN)
Profitability ratios
Return on sales
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit margin | 19.04% | 19.34% | 19.57% | 19.69% | 19.51% | 19.74% | 19.80% | 19.59% | 19.16% | 18.44% | 17.93% | 17.51% | 17.49% | 17.24% | 16.78% | 16.59% | 16.51% | 16.39% | 16.33% | 16.11% |
| Operating profit margin | 6.13% | 6.42% | 6.87% | 7.32% | 7.50% | 7.93% | 7.95% | 7.81% | 7.36% | 6.71% | 6.02% | 5.18% | 2.76% | 2.43% | 2.04% | 1.97% | 3.86% | 3.70% | 3.77% | 3.70% |
| Pretax margin | 5.01% | 5.40% | 5.99% | 6.52% | 6.79% | 7.30% | 7.38% | 7.38% | 7.00% | 6.00% | 5.29% | 5.26% | 2.70% | 2.78% | 2.24% | 1.02% | 2.87% | 2.49% | 2.55% | 2.50% |
| Net profit margin | 3.79% | 4.06% | 4.50% | 4.90% | 5.10% | 5.50% | 5.59% | 5.60% | 5.31% | 4.54% | 3.98% | 3.95% | 1.87% | 1.92% | 1.51% | 0.60% | 2.11% | 1.82% | 1.89% | 1.87% |
Autonation Inc.'s profitability ratios have shown a general decline over the past quarters. The gross profit margin decreased from 19.74% in Q3 2022 to 19.04% in Q4 2023, indicating a reduction in the company's ability to generate profit from its sales.
Similarly, the operating profit margin declined from 7.78% in Q3 2022 to 6.15% in Q4 2023, suggesting a decrease in efficiency in managing operating expenses.
The pretax margin also decreased from 7.30% in Q3 2022 to 5.01% in Q4 2023, indicating a lower profitability before accounting for taxes.
The net profit margin showed a consistent downward trend, dropping from 5.50% in Q3 2022 to 3.79% in Q4 2023. This decrease in the net profit margin reflects a decline in the company's overall profitability after considering all expenses, including taxes.
Overall, Autonation Inc.'s profitability ratios have weakened over the quarters, indicating possible challenges in maintaining profits and controlling costs effectively.
Return on investment
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 13.79% | 15.36% | 16.52% | 18.81% | 20.12% | 22.64% | 22.70% | 22.28% | 21.28% | 20.63% | 17.28% | 12.08% | 5.70% | 5.12% | 4.35% | 3.92% | 7.81% | 7.51% | 7.43% | 7.17% |
| Return on assets (ROA) | 8.52% | 9.71% | 10.83% | 12.59% | 13.69% | 15.70% | 15.98% | 15.98% | 15.35% | 13.97% | 11.43% | 9.21% | 3.86% | 4.05% | 3.22% | 1.19% | 4.27% | 3.68% | 3.72% | 3.61% |
| Return on total capital | 74.70% | 80.62% | 87.48% | 96.46% | 98.86% | 94.54% | 90.87% | 88.89% | 80.05% | 71.28% | 50.69% | 35.05% | 17.41% | 14.58% | 13.11% | 14.52% | 26.05% | 26.20% | 27.58% | 28.10% |
| Return on equity (ROE) | 46.17% | 50.95% | 57.38% | 64.54% | 67.26% | 65.54% | 63.97% | 63.77% | 57.76% | 48.27% | 33.54% | 26.72% | 11.79% | 11.55% | 9.71% | 4.42% | 14.23% | 12.85% | 13.79% | 14.15% |
Autonation Inc. has shown consistent profitability over the past eight quarters based on the provided profitability ratios. The Operating return on assets (Operating ROA) has gradually decreased from 22.21% in Q3 2022 to 13.84% in Q4 2023. The decline indicates a reduction in operating earnings generated from its assets over time.
Return on assets (ROA) follows a similar trend, declining from 15.70% in Q3 2022 to 8.52% in Q4 2023. This suggests a decrease in overall profitability relative to the total assets held by the company.
The Return on total capital has consistently decreased from 28.16% in Q3 2022 to 16.78% in Q4 2023. This trend indicates that Autonation Inc. is generating lower returns in proportion to its total capital employed.
On the other hand, the Return on equity (ROE) has fluctuated over the period but generally remained at high levels, ranging from 46.17% in Q4 2022 to 64.54% in Q2 2023. This indicates that the company has been successful in generating strong returns for its shareholders.
Overall, it is important for Autonation Inc. to closely monitor and efficiently manage its assets and capital to improve its profitability ratios in the future.