Blackbaud Inc (BLKB)
Profitability ratios
Return on sales
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Gross profit margin | 55.32% | 54.29% | 52.24% | 52.23% | 53.13% |
| Operating profit margin | -23.41% | 4.04% | -1.87% | 2.68% | 4.08% |
| Pretax margin | -26.97% | 1.60% | -5.25% | 0.76% | 2.37% |
| Net profit margin | -24.83% | 0.16% | -4.29% | 0.61% | 0.85% |
Blackbaud Inc's profitability ratios show some fluctuations over the five-year period analyzed. The gross profit margin has remained relatively stable, ranging from 52.23% to 55.32%, indicating the company's ability to generate profits from its core operations.
However, the operating profit margin and pretax margin exhibit more variability, with 2022 and 2024 showing negative margins. This suggests that the company may have struggled with controlling operating expenses and generating profits before taxes during those years.
Additionally, the net profit margin declined significantly in 2022 and 2024, turning negative in both years. This indicates that after accounting for all expenses, including taxes, Blackbaud Inc experienced a loss in net income during those periods.
Overall, while the gross profit margin has been relatively stable, the decline in operating, pretax, and net profit margins in certain years raises concerns about the company's overall profitability and efficiency in managing its costs and generating profits.
Return on investment
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | -10.84% | 1.54% | -0.66% | 0.84% | 1.82% |
| Return on assets (ROA) | -11.50% | 0.06% | -1.52% | 0.19% | 0.38% |
| Return on total capital | -180.26% | 7.12% | -1.92% | 2.98% | 8.23% |
| Return on equity (ROE) | -202.09% | 0.23% | -6.10% | 0.79% | 1.81% |
Based on the provided data, Blackbaud Inc's profitability ratios show a downward trend from 2020 to 2024.
1. Operating return on assets (Operating ROA) decreased from 1.82% in 2020 to -10.84% in 2024, indicating a decline in the company's operating performance relative to its total assets.
2. Return on assets (ROA) also decreased over the same period, from 0.38% in 2020 to -11.50% in 2024, suggesting a deterioration in the company's overall profitability relative to its total assets.
3. Return on total capital decreased significantly, from 8.23% in 2020 to -180.26% in 2024, signifying a substantial decline in the company's ability to generate returns on its total capital invested.
4. Return on equity (ROE) exhibited a similar downward trend, decreasing from 1.81% in 2020 to -202.09% in 2024, indicating a poor performance in terms of returns for the company's shareholders.
Overall, the declining trend in Blackbaud Inc's profitability ratios from 2020 to 2024 suggests challenges in generating profits and returns for both its operational assets and overall capital base. Further analysis and investigation into the company's financial performance and operational efficiency may be necessary to address these concerning trends.