Blackbaud Inc (BLKB)
Profitability ratios
Return on sales
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Gross profit margin | 56.44% | 53.68% | 53.08% | 53.13% | 53.53% |
| Operating profit margin | 4.18% | -2.77% | 2.73% | 4.08% | 3.01% |
| Pretax margin | 1.65% | -5.40% | 0.78% | 2.37% | 1.18% |
| Net profit margin | 0.17% | -4.41% | 0.62% | 0.85% | 1.32% |
Blackbaud Inc's profitability ratios show mixed performance over the past five years. The gross profit margin has shown a generally increasing trend, indicating that the company has been able to effectively manage its cost of goods sold and generate more revenue from its products and services.
However, the operating profit margin has been relatively volatile, with a significant improvement in 2023 compared to the negative margin in 2022. This suggests fluctuations in the company's operating expenses and efficiency in generating operating income.
The pretax margin also shows variability, with a negative margin in 2022 but a slight recovery in subsequent years. This could indicate fluctuations in non-operating expenses or income impacting the company's profitability before taxes.
The net profit margin has shown a declining trend, with a negative margin in 2022 and a relatively low margin in 2023. This suggests that the company's bottom-line profitability has been under pressure, possibly due to higher interest expenses, taxes, or other factors affecting net income.
Overall, while Blackbaud Inc has shown improvements in its gross profit margin, the company faces challenges in maintaining consistent operating and net profit margins, indicating the need for continued focus on cost management and operational efficiency to enhance overall profitability.
Return on investment
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 1.54% | -0.95% | 0.84% | 1.82% | 1.36% |
| Return on assets (ROA) | 0.06% | -1.52% | 0.19% | 0.38% | 0.60% |
| Return on total capital | 3.67% | -1.25% | 1.52% | 4.12% | 3.64% |
| Return on equity (ROE) | 0.23% | -6.10% | 0.79% | 1.81% | 3.00% |
The profitability ratios of Blackbaud Inc show varying trends over the past five years.
1. Operating return on assets (Operating ROA) has seen fluctuations, with a positive trend in 2023 at 1.54%, indicating that the company generated a return of 1.54 cents for every dollar of assets through its operations.
2. Return on assets (ROA) has also displayed inconsistency, with a slightly positive ROA of 0.06% in 2023, highlighting the company's ability to generate a meager return of 0.06 cents for every dollar of assets.
3. Return on total capital has shown similar fluctuations, with a notable improvement in 2023 at 2.81%, signaling that the company earned a return of 2.81 cents for every dollar of total capital it employed.
4. Return on equity (ROE) has depicted a mix of negative and positive results, with a modest positive trend in 2023 at 0.23%, indicating a return of 0.23 cents for every dollar of shareholders' equity.
Overall, the profitability ratios of Blackbaud Inc suggest that the company has faced challenges in generating consistent profits and returns for its assets, capital, and equity over the past five years. It is essential for the company to focus on improving these ratios to enhance its overall financial performance and efficiency.