Baker Hughes Co (BKR)
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 | 88.79% | 88.96% | 88.80% | 87.83% | 87.07% | 87.11% | 85.39% | 83.74% | 83.31% | 83.59% | 84.48% | 85.87% | 85.91% | 83.77% | 82.77% | 82.67% | 2.72% | -11.01% | -24.15% | -35.13% |
| Operating profit margin | 11.15% | 11.44% | 10.74% | 9.85% | 9.29% | 9.71% | 8.34% | 6.30% | 5.80% | 5.36% | 5.98% | 7.03% | 6.48% | 4.57% | 2.45% | 1.25% | -78.69% | -74.10% | -69.74% | -64.59% |
| Pretax margin | 11.71% | 11.07% | 10.24% | 9.76% | 10.54% | 10.24% | 8.14% | 2.69% | -0.01% | 1.48% | 1.82% | 5.43% | 2.66% | 5.54% | 3.73% | 2.33% | -46.20% | -48.41% | -45.10% | -41.37% |
| Net profit margin | 10.78% | 8.36% | 7.50% | 7.10% | 7.79% | 7.03% | 5.09% | -0.46% | -2.94% | -2.40% | -2.31% | 1.51% | -1.08% | 0.70% | -0.19% | -0.84% | -48.95% | -49.36% | -46.47% | -43.16% |
The profitability ratios for Baker Hughes Co show significant improvements over the past few years.
- Gross profit margin has shown a steady increase from negative values in 2020 to nearly 89% by the end of 2024, indicating the company's ability to efficiently control its cost of goods sold and generate higher profits from its revenue.
- Operating profit margin also witnessed a strong positive trend, shifting from negative values in 2020 to around 11.44% by September 30, 2024, reflecting the company's effectiveness in managing its operating expenses and boosting operational efficiency.
- Pretax margin displays a recovery from negative figures in 2020 to approximately 11.71% by the end of 2024, showcasing the company's improved ability to generate profits before accounting for taxes.
- Net profit margin has exhibited a notable rebound, transitioning from negative percentages in 2020 to a robust 10.78% by December 31, 2024, demonstrating the company's enhanced profitability after accounting for all expenses and taxes.
Overall, the upward trajectory of profitability ratios underscores Baker Hughes Co's successful efforts in enhancing its operational performance and financial position over the analyzed period.
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) | 8.03% | 8.17% | 7.78% | 6.82% | 6.27% | 6.37% | 5.22% | 3.84% | 3.47% | 3.31% | 3.57% | 4.07% | 3.71% | 2.57% | 1.34% | 0.67% | -42.04% | -42.40% | -41.27% | -40.72% |
| Return on assets (ROA) | 7.77% | 5.97% | 5.43% | 4.91% | 5.26% | 4.61% | 3.19% | -0.28% | -1.76% | -1.48% | -1.38% | 0.87% | -0.62% | 0.39% | -0.10% | -0.45% | -26.15% | -28.24% | -27.50% | -27.21% |
| Return on total capital | 18.24% | 18.94% | 18.31% | 16.45% | 15.08% | 15.27% | 12.46% | 9.14% | 8.24% | 7.76% | 8.10% | 9.07% | 8.83% | 6.49% | 3.53% | 1.88% | -123.93% | -136.68% | -137.59% | -132.18% |
| Return on equity (ROE) | 17.63% | 13.84% | 12.79% | 11.84% | 12.65% | 11.06% | 7.61% | -0.67% | -4.18% | -3.47% | -3.13% | 1.94% | -1.48% | 0.99% | -0.27% | -1.27% | -77.10% | -91.04% | -91.67% | -88.33% |
Baker Hughes Co's profitability ratios have shown improvement over the analyzed periods.
- Operating return on assets (Operating ROA) increased from negative levels in early periods to 8.03% by December 31, 2024. This indicates that the company's operating income generated from its assets has been steadily improving.
- Return on assets (ROA) also moved from negative figures to 7.77% by December 31, 2024, reflecting the company's ability to generate profits from its total assets.
- Return on total capital exhibited a significant positive trend, starting at a negative level in March 31, 2020, and reaching 18.24% by December 31, 2024. This implies that the company is utilizing its total capital effectively to generate returns for its stakeholders.
- Return on equity (ROE) displayed a similar positive trajectory, starting at negative levels and reaching 17.63% by December 31, 2024. This indicates an improvement in the company's ability to generate profits for its equity shareholders.
Overall, Baker Hughes Co's profitability ratios have shown a positive trend, reflecting improved efficiency in utilizing assets and generating returns for both debt and equity holders.