The Boeing Company (BA)
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 | -2.99% | 3.13% | 9.47% | 10.04% | 9.93% | 9.06% | 6.63% | 7.19% | 5.26% | -1.38% | 2.76% | 3.21% | 4.84% | -0.25% | -1.35% | -7.82% | -9.78% | -1.31% | 1.83% | 0.47% |
| Operating profit margin | -16.10% | -9.08% | -2.31% | -0.93% | -0.99% | -1.89% | -4.64% | -3.59% | -5.33% | -11.96% | -6.95% | -6.52% | -4.66% | -10.80% | -12.18% | -20.36% | -21.95% | -11.39% | -7.90% | -8.05% |
| Pretax margin | -18.34% | -11.06% | -4.05% | -2.44% | -2.55% | -3.44% | -6.25% | -5.38% | -7.36% | -14.59% | -10.13% | -9.81% | -7.94% | -14.13% | -15.40% | -23.85% | -24.77% | -13.40% | -9.10% | -8.62% |
| Net profit margin | -17.77% | -10.88% | -4.68% | -2.81% | -2.86% | -3.74% | -6.08% | -5.86% | -7.41% | -13.75% | -8.69% | -8.00% | -6.75% | -13.50% | -14.30% | -20.87% | -20.42% | -7.34% | -4.27% | -4.84% |
The Gross Profit Margin of The Boeing Company has fluctuated over the past several quarters, starting at a low of -9.78% in December 31, 2020, and showing a gradual improvement to reach 9.93% by December 31, 2023. The Gross Profit Margin further increased to 10.04% by March 31, 2024, indicating an upward trend in profitability from the cost of goods sold.
The Operating Profit Margin also depicted variability, with negative margins persisting until March 31, 2023, where it improved slightly to -3.59%. Subsequently, the margin gradually recovered to -2.99% by December 31, 2024. Despite the continued negative margins, there was an overall improvement in operational efficiency during the period.
In terms of the Pretax Margin, a similar pattern is observed, with negative values shifting towards improvement over time. The margin was at its lowest at -24.77% in December 31, 2020, but subsequently recovered to -18.34% by December 31, 2024. This indicates that the company's performance before accounting for taxes has been gradually improving, albeit still negative.
The Net Profit Margin, which reflects the company's profitability after all expenses have been deducted, has also shown improvement over the quarters. Starting from a low of -20.42% in December 31, 2020, the margin increased to -17.77% by December 31, 2024. This suggests that Boeing has been able to better manage its expenses and generate more profit relative to its revenue in recent quarters.
Overall, the profitability ratios of The Boeing Company have displayed a positive trend, showcasing a gradual recovery and improvement in profitability over the quarters.
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) | -6.85% | -4.83% | -1.19% | -0.53% | -0.56% | -1.06% | -2.53% | -1.86% | -2.59% | -5.34% | -3.12% | -2.93% | -2.09% | -4.62% | -5.04% | -7.66% | -8.39% | -4.29% | -3.23% | -3.97% |
| Return on assets (ROA) | -7.56% | -5.79% | -2.41% | -1.60% | -1.62% | -2.11% | -3.32% | -3.03% | -3.60% | -6.14% | -3.90% | -3.60% | -3.03% | -5.77% | -5.92% | -7.85% | -7.80% | -2.77% | -1.75% | -2.39% |
| Return on total capital | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Return on equity (ROE) | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
The profitability ratios of The Boeing Company paint a challenging picture over the last few years.
1. Operating Return on Assets (Operating ROA):
- The Operating ROA has shown a fluctuating trend, starting at -3.97% in March 2020, hitting a low of -8.39% in December 2020, and slightly improving to -0.56% by December 2023. However, it dropped again to -6.85% by December 2024. This indicates that the company has struggled to generate operating profits relative to its assets, with intermittent improvements followed by declines.
2. Return on Assets (ROA):
- The ROA also exhibits a similar pattern, with negative values throughout the period. It started at -2.39% in March 2020 and reached a low of -7.80% by December 2020. While there were some fluctuations, the ratio remained negative up to December 2024, where it stood at -7.56%. This suggests that the company's profitability in relation to its total assets has been consistently weak.
3. Return on Total Capital and Return on Equity:
- The data provided does not show values for Return on Total Capital or Return on Equity, indicating a lack of information on the company's performance in these areas. Typically, these ratios are crucial for evaluating the returns generated from all sources of capital and the return to shareholders' equity, respectively.
In conclusion, based on the Operating ROA and ROA ratios, it is evident that The Boeing Company has struggled to efficiently utilize its assets to generate profits over the analyzed period. Long-term improvements in profitability metrics would be crucial for the company to enhance its financial performance and regain investor confidence.