Box Inc (BOX)
Profitability ratios
Return on sales
| Jan 31, 2024 | Jan 31, 2023 | Jan 31, 2022 | Jan 31, 2021 | Jan 31, 2020 | |
|---|---|---|---|---|---|
| Gross profit margin | 74.68% | 74.25% | 71.21% | 70.59% | 68.46% |
| Operating profit margin | 4.88% | 3.70% | -3.15% | -4.87% | -19.86% |
| Pretax margin | 6.01% | 3.46% | -4.27% | -5.46% | -20.36% |
| Net profit margin | 12.40% | 2.69% | -4.72% | -5.62% | -20.56% |
Box Inc has demonstrated an improving trend in its profitability ratios over the past five years. The gross profit margin has consistently increased from 68.46% in 2020 to 74.68% in 2024, indicating the company's ability to efficiently generate revenues after accounting for the cost of goods sold.
The operating profit margin has also shown a positive trend, improving from -19.86% in 2020 to 4.88% in 2024. This suggests that Box Inc has been able to better manage its operating expenses and generate profits from its core business activities.
Similarly, both the pretax margin and net profit margin have shown significant improvement over the years. The pretax margin increased from -20.36% in 2020 to 6.01% in 2024, while the net profit margin increased from -20.56% in 2020 to 12.40% in 2024. These improvements indicate that Box Inc has been able to enhance its overall profitability and generate higher profits relative to its revenues.
Overall, the positive trend in profitability ratios reflects Box Inc's efforts to streamline its operations, control costs, and increase profitability, which bodes well for the company's financial performance in the coming years.
Return on investment
| Jan 31, 2024 | Jan 31, 2023 | Jan 31, 2022 | Jan 31, 2021 | Jan 31, 2020 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 4.09% | 3.05% | -1.98% | -2.78% | -14.53% |
| Return on assets (ROA) | 10.40% | 2.22% | -2.98% | -3.21% | -15.04% |
| Return on total capital | — | — | — | -8.39% | -223.67% |
| Return on equity (ROE) | — | — | — | -28.75% | -645.65% |
Box Inc's profitability ratios have shown significant fluctuations over the past five years.
- Operating return on assets (Operating ROA) has been improving from negative figures in 2021 and 2022 to a positive 4.09% in 2024, indicating that the company has become more efficient in generating operating income from its assets.
- Return on assets (ROA) has also improved over the years, with a notable increase to 10.40% in 2024 from negative figures in 2021 and 2022. This suggests that upward trend in generating profits from its total assets.
- Return on total capital was not provided for 2024 and previous years, indicating that the company's performance in generating returns from total capital was not disclosed in the data.
- Return on equity (ROE) has shown a consistent improvement, with a significant increase to -28.75% in 2023 from -645.65% in 2020. However, it should be noted that the return on equity is still in the negative territory, indicating that the company's profitability in relation to shareholder equity has not been favorable.
Overall, the profitability ratios of Box Inc have shown positive trends in recent years, with improvements in generating returns from assets and equity. However, the company still faces challenges in generating satisfactory returns on equity.