Peabody Energy Corp (BTU)
Profitability ratios
Return on sales
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Gross profit margin | 19.26% | 31.57% | 33.94% | 23.06% | 12.36% |
| Operating profit margin | 10.51% | 21.73% | 27.73% | 13.02% | -6.21% |
| Pretax margin | 12.18% | 22.74% | 25.66% | 11.16% | -64.27% |
| Net profit margin | 8.75% | 15.36% | 26.04% | 10.85% | -64.55% |
Peabody Energy Corp has shown a significant improvement in its profitability ratios over the past few years.
- The Gross Profit Margin has steadily increased from 12.36% in 2020 to 33.94% in 2022, indicating the company's ability to generate more profit from its revenue.
- The Operating Profit Margin has also shown considerable improvement, from a negative -6.21% in 2020 to 27.73% in 2022, suggesting better operational efficiency and cost management.
- The Pretax Margin has followed a similar trend, increasing from -64.27% in 2020 to 25.66% in 2022, demonstrating improved profitability before accounting for taxes.
- The Net Profit Margin has shown a positive upward trajectory, reaching 26.04% in 2022 from a negative -64.55% in 2020, reflecting the company's ability to translate its revenue into net income.
Overall, Peabody Energy Corp's profitability ratios have improved significantly, indicating enhanced operational performance and financial health during the period in question.
Return on investment
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 7.48% | 18.03% | 24.62% | 8.73% | -3.83% |
| Return on assets (ROA) | 6.23% | 12.74% | 23.12% | 7.28% | -39.85% |
| Return on total capital | 15.42% | 33.40% | 43.91% | 31.42% | -189.08% |
| Return on equity (ROE) | 10.16% | 21.42% | 40.14% | 20.44% | -200.06% |
Based on the provided data, Peabody Energy Corp's profitability ratios show varying performance over the years.
1. Operating return on assets (Operating ROA) improved significantly from -3.83% in 2020 to 24.62% in 2022, indicating that the company's operating profits generated from its assets increased substantially during this period. However, it dropped to 7.48% by the end of 2024.
2. Return on assets (ROA) also showed improvement, moving from -39.85% in 2020 to 23.12% in 2022, before declining to 6.23% by the end of 2024. This ratio reflects the overall profitability in relation to total assets.
3. Return on total capital increased from -189.08% in 2020 to 43.91% in 2022, suggesting effective utilization of both debt and equity to generate returns. However, it decreased to 15.42% by the end of 2024.
4. Return on equity (ROE) witnessed a similar positive trend, rising from -200.06% in 2020 to 40.14% in 2022, but then dropped to 10.16% by the end of 2024. ROE signifies the returns generated for the shareholders based on their equity investment.
Overall, the profitability ratios of Peabody Energy Corp have shown improvements and fluctuations over the years, indicating the company's ability to generate profits from its operational activities and capital structure, though it experienced a decline in certain ratios towards the end of the period.