BJs Wholesale Club Holdings Inc (BJ)
Profitability ratios
Return on sales
| Jan 31, 2025 | Feb 3, 2024 | Jan 31, 2024 | Jan 31, 2023 | Jan 28, 2023 | |
|---|---|---|---|---|---|
| Gross profit margin | 18.36% | 17.99% | 18.24% | 17.77% | 17.60% |
| Operating profit margin | 3.77% | 4.02% | 4.01% | 3.82% | 3.83% |
| Pretax margin | 3.52% | 3.70% | 3.69% | 3.58% | 3.58% |
| Net profit margin | 2.61% | 2.63% | 2.62% | 2.66% | 2.66% |
Based on the provided data, let's analyze the profitability ratios of BJs Wholesale Club Holdings Inc:
1. Gross Profit Margin:
- BJs Wholesale Club's gross profit margin has shown a slight increase over the years, from 17.60% in January 28, 2023, to 18.36% in January 31, 2025. This indicates that the company has been able to improve its efficiency in generating profits after accounting for the cost of goods sold.
2. Operating Profit Margin:
- The operating profit margin of BJs Wholesale Club has fluctuated slightly but remained relatively stable, ranging from 3.77% in January 31, 2025, to 4.02% in February 3, 2024. This ratio shows the company's ability to control its operating expenses and generate profits from its core operations.
3. Pre-Tax Margin:
- The pre-tax margin of BJs Wholesale Club has also shown stability, with a minor fluctuation from 3.52% in January 31, 2025, to 3.70% in February 3, 2024. This ratio indicates the company's efficiency in generating profits before accounting for taxes.
4. Net Profit Margin:
- BJs Wholesale Club's net profit margin has slightly declined over the years, from 2.66% in January 28, 2023, to 2.61% in January 31, 2025. This ratio reflects the company's ability to translate its revenues into profits after accounting for all expenses, including taxes and interest.
Overall, BJs Wholesale Club Holdings Inc has maintained stable profitability ratios with minor fluctuations in its margins over the years. The company has shown efficiency in managing costs and generating profits, although there has been a slight decrease in net profit margin.
Return on investment
| Jan 31, 2025 | Feb 3, 2024 | Jan 31, 2024 | Jan 31, 2023 | Jan 28, 2023 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 10.93% | 11.99% | 11.99% | 11.62% | 11.62% |
| Return on assets (ROA) | 7.56% | 7.84% | 7.84% | 8.08% | 8.08% |
| Return on total capital | 41.70% | 43.10% | 54.79% | 71.67% | 49.37% |
| Return on equity (ROE) | 28.93% | 35.90% | 35.90% | 49.02% | 49.02% |
Based on the provided data, let's analyze the profitability ratios of BJs Wholesale Club Holdings Inc:
1. Operating return on assets (Operating ROA):
- The Operating ROA for BJs Wholesale Club Holdings Inc has shown a consistent performance, hovering around 11.62% to 11.99% from January 2023 to January 2025. This indicates that the company is generating operating income efficiently relative to its total assets.
2. Return on assets (ROA):
- The ROA for BJs Wholesale Club Holdings Inc has been relatively stable, ranging from 7.56% to 8.08% during the same period. This ratio suggests the company's ability to generate profits from its assets, although there has been a slight decrease in recent periods.
3. Return on total capital:
- The Return on Total Capital for BJs Wholesale Club Holdings Inc has fluctuated significantly, with values ranging from 41.70% to 71.67% over the mentioned period. This ratio reflects the company's efficiency in generating returns from both equity and debt capital employed in its operations.
4. Return on equity (ROE):
- The ROE for BJs Wholesale Club Holdings Inc has experienced a decline, decreasing from 49.02% in January 2023 to 28.93% in January 2025. This indicates a decrease in the company's ability to generate profits from the shareholders' equity invested.
In summary, BJs Wholesale Club Holdings Inc has demonstrated stable operating efficiency in terms of return on assets, with a noticeable decrease in ROE over the period. The Return on Total Capital ratio has shown fluctuations, which may warrant further investigation into the company's capital structure and overall financial performance.