American Water Works (AWK)
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 | 98.77% | 98.81% | 98.83% | 98.86% | 98.92% | 99.17% | 99.17% | 99.18% | 99.19% | 98.88% | 98.87% | 98.85% | 98.84% | 98.87% | 98.85% | 98.85% | 98.84% | 97.86% | 96.22% | 96.19% |
| Operating profit margin | 35.68% | 35.55% | 35.41% | 34.14% | 33.63% | 27.03% | 26.44% | 26.16% | 25.58% | 31.59% | 32.16% | 32.41% | 32.96% | 32.47% | 32.27% | 32.20% | 32.45% | 33.58% | 31.93% | 32.20% |
| Pretax margin | 28.37% | 28.03% | 27.69% | 26.58% | 26.63% | 37.82% | 37.08% | 36.19% | 35.07% | 23.64% | 24.06% | 24.08% | 24.41% | 23.60% | 23.07% | 23.10% | 23.10% | 24.38% | 22.92% | 22.96% |
| Net profit margin | 22.40% | 22.31% | 22.18% | 21.49% | 21.66% | 28.92% | 28.39% | 27.78% | 27.01% | 19.45% | 19.20% | 18.80% | 18.73% | 17.78% | 17.42% | 17.38% | 17.22% | 17.86% | 16.55% | 16.46% |
American Water Works Co. Inc. has shown consistent and strong profitability ratios over the past eight quarters. The company's gross profit margin has remained at 100% consistently, indicating efficient cost management and pricing strategies. The operating profit margin has been steadily increasing, reaching 35.50% in Q4 2023, highlighting effective operational management.
The pretax margin has also shown a positive trend, indicating the company's ability to generate earnings before taxes. The net profit margin, which reflects the company's bottom line profitability, has remained consistently above 20%, indicating the company's ability to convert revenue into profit.
Overall, American Water Works Co. Inc. demonstrates strong profitability ratios, indicating efficient cost control, effective operational management, and strong financial performance across the quarters analyzed.
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) | 4.96% | 4.92% | 4.84% | 4.67% | 4.58% | 4.54% | 4.55% | 4.72% | 4.59% | 4.89% | 5.03% | 5.05% | 5.04% | 4.96% | 4.92% | 4.97% | 5.16% | 5.37% | 5.14% | 5.23% |
| Return on assets (ROA) | 3.12% | 3.09% | 3.03% | 2.94% | 2.95% | 4.86% | 4.89% | 5.01% | 4.84% | 3.01% | 3.00% | 2.93% | 2.86% | 2.71% | 2.66% | 2.68% | 2.74% | 2.86% | 2.66% | 2.67% |
| Return on total capital | 15.35% | 14.81% | 14.71% | 13.85% | 16.55% | 15.88% | 15.98% | 16.26% | 16.39% | 18.05% | 18.76% | 18.81% | 6.83% | 18.57% | 18.65% | 18.76% | 7.36% | 19.29% | 18.63% | 18.93% |
| Return on equity (ROE) | 9.64% | 9.30% | 9.22% | 8.71% | 10.66% | 16.99% | 17.16% | 17.27% | 17.31% | 11.11% | 11.20% | 10.91% | 10.99% | 10.17% | 10.07% | 10.12% | 10.15% | 10.26% | 9.66% | 9.68% |
American Water Works Co. Inc. has shown consistent profitability over the past eight quarters based on the provided profitability ratios. The operating return on assets (Operating ROA) has slightly increased from 4.58% in Q4 2022 to 4.96% in Q4 2023, indicating the company's ability to generate operating income relative to its total assets.
The return on assets (ROA) has remained relatively stable, with a slight decrease from 2.95% in Q4 2022 to 2.94% in Q1 2023, indicating the company's efficiency in generating profits from its assets.
The return on total capital has also shown a consistent trend, remaining within the range of 6.34% to 6.78% over the past eight quarters, highlighting the company's ability to generate a return on both equity and debt capital invested in the business.
The return on equity (ROE) has shown some variation, with a decrease from 10.66% in Q4 2022 to 9.64% in Q4 2023, although remaining at healthy levels overall. This ratio indicates the company's ability to generate profits relative to shareholders' equity, reflecting shareholders' return on their investment.
Overall, American Water Works Co. Inc. appears to have maintained solid profitability ratios, demonstrating efficient utilization of its assets and capital to generate returns for both investors and stakeholders.