Benchmark Electronics Inc (BHE)
Profitability ratios
Return on sales
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Gross profit margin | 9.55% | 8.84% | 9.13% | 8.53% | 8.18% |
| Operating profit margin | 3.86% | 3.12% | 2.35% | 1.22% | 1.26% |
| Pretax margin | 2.86% | 2.92% | 2.01% | 0.84% | 1.20% |
| Net profit margin | 2.27% | 2.36% | 1.59% | 0.68% | 1.03% |
Benchmark Electronics Inc.'s profitability ratios have shown a mixed trend over the past five years. The gross profit margin has fluctuated slightly, ranging from 8.53% in 2020 to 9.55% in 2023. This indicates the company's ability to generate profit after deducting the cost of goods sold.
The operating profit margin has also exhibited an increasing trend, with a notable improvement from 2.13% in 2020 to 4.16% in 2023. This suggests that Benchmark Electronics has been able to control its operating expenses more effectively in recent years.
The pretax margin has shown variability, peaking at 2.92% in 2022 before declining to 2.86% in 2023. This ratio reflects the company's ability to generate profit before accounting for taxes.
Similarly, the net profit margin has fluctuated between 0.68% in 2020 and 2.36% in 2022, before settling at 2.27% in 2023. This metric reflects Benchmark Electronics' overall profitability after all expenses, including taxes, have been deducted.
Overall, Benchmark Electronics Inc. has shown improvements in its profitability ratios, particularly in the operating profit margin, indicating better control over expenses and increased efficiency in generating profits. However, fluctuations in the gross profit and net profit margins suggest some inconsistency in profitability over the years.
Return on investment
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 4.82% | 4.04% | 2.79% | 1.44% | 1.62% |
| Return on assets (ROA) | 2.83% | 3.06% | 1.88% | 0.81% | 1.33% |
| Return on total capital | 10.48% | 9.47% | 5.53% | 2.59% | 3.34% |
| Return on equity (ROE) | 5.96% | 6.65% | 3.67% | 1.42% | 2.31% |
Benchmark Electronics Inc.'s profitability ratios have shown a positive trend over the past five years.
The operating return on assets (Operating ROA) has been improving steadily from 2.80% in 2019 to 5.19% in 2023. This indicates that the company has been more efficient in generating operating income from its assets over the years.
The return on assets (ROA) has fluctuated but generally increased from 1.33% in 2019 to 2.83% in 2023, demonstrating the company's ability to generate profit from its total assets.
Return on total capital has been on an upward trajectory, reaching 8.37% in 2023 compared to 4.24% in 2019. This suggests that Benchmark Electronics Inc. has been effectively utilizing its total capital to generate returns for its stakeholders.
Return on equity (ROE) has also shown improvement, rising from 2.31% in 2019 to 5.96% in 2023. This indicates that the company has been able to deliver better returns to its equity shareholders over the years.
Overall, the profitability ratios of Benchmark Electronics Inc. reflect a positive trend, showcasing improvements in operational efficiency and profitability over the years.