Boston Scientific Corp (BSX)
Profitability ratios
Return on sales
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Gross profit margin | 68.61% | 69.49% | 68.44% | 68.37% | 64.59% |
| Operating profit margin | 15.54% | 16.45% | 13.00% | 17.19% | 10.53% |
| Pretax margin | 13.63% | 13.94% | 9.00% | 9.05% | -1.39% |
| Net profit margin | 11.06% | 11.19% | 5.50% | 8.76% | -1.41% |
Boston Scientific Corp's profitability has shown a positive trend over the years based on the provided data. The gross profit margin has improved steadily from 64.59% in December 2020 to 68.61% in December 2024, indicating the company's ability to efficiently manage production costs and generate profits from its core operations.
Similarly, the operating profit margin has experienced fluctuations but generally increased from 10.53% in December 2020 to 15.54% in December 2024. This suggests that Boston Scientific Corp has been able to control its operating expenses and enhance operational efficiency to boost profitability.
The pretax margin showcases a notable improvement, turning from negative (-1.39%) in December 2020 to 13.63% in December 2024. This indicates the company's success in managing its tax obligations and generating profits before taxes.
Lastly, the net profit margin has demonstrated consistent growth, rising from -1.41% in December 2020 to 11.06% in December 2024. This indicates the company's ability to efficiently manage both operating and non-operating expenses to maximize its net profit relative to its revenue.
Overall, Boston Scientific Corp's profitability ratios have shown a positive trajectory, reflecting the company's efforts in enhancing operational efficiency and financial performance over the years.
Return on investment
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 6.61% | 6.67% | 5.08% | 6.34% | 3.39% |
| Return on assets (ROA) | 4.70% | 4.53% | 2.15% | 3.23% | -0.45% |
| Return on total capital | 11.88% | 11.71% | 9.13% | 8.57% | 2.54% |
| Return on equity (ROE) | 8.51% | 8.26% | 3.97% | 6.26% | -0.91% |
Boston Scientific Corp has shown improvement in profitability ratios over the last five years. The Operating Return on Assets (Operating ROA) increased from 3.39% in December 2020 to 6.61% in December 2024, indicating the company's ability to generate operating income from its assets has improved steadily.
Similarly, the Return on Assets (ROA) has also shown growth, starting at -0.45% in December 2020 and reaching 4.70% by December 2024. This suggests that the company has been more efficient in utilizing its assets to generate profits over the years.
The Return on Total Capital has seen a significant increase from 2.54% in December 2020 to 11.88% in December 2024, indicating that Boston Scientific has been able to generate stronger returns for both debt and equity holders.
Lastly, the Return on Equity (ROE) has improved from -0.91% in December 2020 to 8.51% in December 2024, showcasing the company's ability to generate profits for its shareholders relative to their equity investments.
Overall, the trend in these profitability ratios reflects positively on Boston Scientific Corp's financial performance and efficiency in generating returns for its stakeholders.