Carrier Global Corp (CARR)
Profitability ratios
Return on sales
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit margin | 83.28% | 84.87% | 85.84% | 86.30% | 87.42% | 86.76% | 86.20% | 85.45% | 84.00% | 88.15% | 88.29% | 88.28% | 87.66% |
| Operating profit margin | 10.56% | 9.74% | 13.96% | 16.08% | 21.26% | 21.37% | 18.18% | 17.82% | 13.04% | 17.07% | 18.73% | 18.46% | 17.87% |
| Pretax margin | 9.16% | 8.36% | 12.56% | 14.75% | 19.97% | 20.07% | 16.90% | 16.62% | 11.65% | 17.44% | 19.06% | 18.74% | 18.50% |
| Net profit margin | 6.20% | 5.50% | 10.02% | 12.20% | 16.64% | 16.87% | 12.97% | 12.43% | 8.20% | 12.88% | 14.54% | 14.54% | 13.58% |
Carrier Global Corp's profitability ratios have shown fluctuating trends over the past eight quarters.
The gross profit margin has ranged between 26.37% to 28.88%, indicating the company's ability to generate profits after accounting for the cost of goods sold. Despite some fluctuations, the gross profit margin has remained relatively stable.
The operating profit margin has ranged from 11.17% to 11.82%, showing the company's efficiency in managing operating expenses. The slight variations suggest consistent operational performance.
The pretax margin has displayed significant variability, fluctuating from 8.61% to 21.02%. This indicates fluctuations in the company's ability to generate profits before accounting for taxes, possibly influenced by changes in revenue or expenses.
The net profit margin has seen substantial variation, ranging from 5.43% to 17.55%. This metric reflects the company's overall profitability after accounting for all expenses, including taxes. The fluctuations in the net profit margin may signal changing profitability levels over the quarters.
In conclusion, while Carrier Global Corp's gross and operating profit margins have shown relative stability, the pretax and net profit margins have exhibited more significant variability, indicating potential fluctuations in the company's overall profitability. Further analysis may be needed to understand the drivers behind these fluctuations and their impact on the company's financial performance.
Return on investment
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 7.00% | 7.99% | 11.43% | 12.62% | 17.31% | 17.93% | 16.26% | 15.75% | 10.11% | 13.29% | 14.30% | 13.43% | 12.29% |
| Return on assets (ROA) | 4.11% | 4.52% | 8.20% | 9.57% | 13.55% | 14.15% | 11.60% | 10.99% | 6.36% | 10.02% | 11.10% | 10.58% | 9.34% |
| Return on total capital | 25.50% | 12.37% | 17.72% | 19.40% | 26.91% | 28.17% | 25.16% | 24.22% | 15.93% | 20.42% | 22.01% | 20.37% | 18.56% |
| Return on equity (ROE) | 14.98% | 14.10% | 25.99% | 29.85% | 43.76% | 48.08% | 39.26% | 35.79% | 23.46% | 35.79% | 40.13% | 38.59% | 35.62% |
Carrier Global Corp's profitability ratios exhibit varying trends over the past eight quarters.
- Operating return on assets (Operating ROA) ranged from 7.52% to 10.24% during the period. It indicates the company's ability to generate profits from its assets before interest and taxes. The ratio fluctuated, but overall, it remained stable around 8-10%.
- Return on assets (ROA) showed a decreasing trend from 13.55% in Q4 2022 to 4.11% in Q4 2023, before slightly improving to 4.52% in Q3 2023. ROA indicates the company's efficiency in utilizing its assets to generate profits. The significant decline in ROA suggests a decrease in profitability relative to the assets employed.
- Return on total capital ranged from 11.67% to 17.74%. This ratio represents the company's ability to generate profit from both equity and debt capital invested in the business. The trend shows some fluctuations, but overall, the return remained relatively stable.
- Return on equity (ROE) had a similar downward trend as ROA, declining from 50.17% in Q3 2022 to 15.55% in Q4 2023. ROE signifies the company's profitability relative to shareholders' equity. The substantial decrease in ROE indicates a decline in profitability attributed to shareholders' investments.
In summary, Carrier Global Corp's profitability ratios have shown mixed performance, with fluctuations in ROA, ROE, and Operating ROA. Further analysis would be required to understand the factors driving these changes and evaluate the company's overall financial health.