Cogent Communications Group Inc (CCOI)
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 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit margin | 19.62% | -11.93% | 2.24% | 20.03% | 13.78% | 21.04% | 21.23% | 20.70% | 25.43% | 15.15% | 15.08% | 15.11% | 13.03% | 31.53% | 31.75% | 31.07% | 32.12% | 24.89% | 25.32% | 26.07% |
| Operating profit margin | -14.60% | -4.54% | 7.38% | 20.35% | 23.27% | 30.88% | 31.12% | 30.88% | 28.46% | 21.30% | 20.98% | 21.10% | 21.76% | 20.69% | 20.84% | 20.00% | 20.01% | 19.04% | 18.47% | 18.49% |
| Pretax margin | 172.42% | 143.41% | 181.54% | 6.57% | 5.38% | 9.40% | 16.78% | 11.31% | 16.50% | 5.08% | -0.44% | 2.18% | -0.46% | 9.42% | 14.46% | 14.42% | 14.62% | 13.69% | 12.27% | 12.17% |
| Net profit margin | 178.50% | 146.45% | 182.79% | 1.89% | 1.05% | 5.16% | 10.57% | 7.14% | 10.95% | 2.02% | -1.52% | 0.64% | -1.30% | 7.87% | 11.57% | 11.43% | 11.59% | 10.55% | 9.52% | 9.48% |
Over the past eight quarters, Cogent Communications Holdings Inc has shown fluctuations in its profitability ratios.
- Gross profit margin: The company's gross profit margin has generally been decreasing from 62.03% in Q1 2023 to 42.16% in Q4 2023. This reduction suggests that the company's cost of goods sold as a percentage of revenue has been increasing, which could be a concern for its operational efficiency.
- Operating profit margin: Cogent Communications Holdings Inc experienced negative operating profit margins in Q4 2023 and Q3 2023, indicating that the company's operational expenses were exceeding its gross profit. While the company showed improvement in Q2 2023 with a margin of 7.07%, the decreasing trend from Q2 to Q4 2023 signals potential inefficiencies in its cost management strategies.
- Pretax margin: In Q3 2023 and Q2 2023, the company saw exceptionally high pretax margins of 160.37% and 129.60% respectively, which could be attributed to significant non-operating income or one-time gains. However, the pretax margin dropped to 5.85% in Q1 2023, reflecting a more normalized profitability level.
- Net profit margin: Cogent Communications Holdings Inc's net profit margin has also varied significantly over the quarters, ranging from 161.47% in Q2 2023 to 0.86% in Q4 2022. The sharp fluctuations in net profit margin indicate inconsistencies in the company's ability to generate bottom-line earnings relative to revenue.
Overall, while the company has shown strengths in generating high profitability margins in some quarters, the fluctuations and downward trends in profitability ratios raise concerns about its operational efficiency and cost management practices. Further analysis of the company's financial performance and strategies may be necessary to understand the drivers behind these fluctuations in profitability ratios.
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 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | -4.03% | -1.13% | 1.43% | 10.97% | 11.28% | 12.01% | 12.13% | 12.55% | 12.11% | 10.95% | 10.68% | 12.58% | 10.68% | 10.74% | 10.67% | 11.13% | 10.76% | 10.14% | 9.59% | 11.33% |
| Return on assets (ROA) | 49.24% | 36.27% | 35.50% | 1.02% | 0.51% | 2.01% | 4.12% | 2.90% | 4.66% | 1.04% | -0.77% | 0.38% | -0.64% | 4.08% | 5.92% | 6.36% | 6.23% | 5.62% | 4.94% | 5.81% |
| Return on total capital | -21.22% | -7.54% | 8.41% | — | — | — | — | — | — | — | — | — | — | — | — | 45.82% | 41.70% | 37.29% | 34.04% | 19.32% |
| Return on equity (ROE) | 259.42% | 242.95% | 208.24% | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
Cogent Communications Holdings Inc's profitability ratios show mixed performance over the quarters analyzed.
1. Operating return on assets (Operating ROA) declined from positive levels in Q2 and Q1 2023 to negative values in Q3 and Q4 2023, indicating a decrease in operating efficiency and profitability in the latter half of the year.
2. Return on assets (ROA) fluctuated significantly, with high values in Q4 2023 and Q3 2023, followed by a sharp decline in Q1 2023. The trend suggests inconsistency in utilizing assets to generate profits.
3. Return on total capital shows a similar pattern as ROA, with a notable decrease in Q1 2023 followed by a slight recovery in subsequent quarters. The negative values in Q4 2023 and Q3 2023 indicate challenges in generating returns on the total invested capital.
4. Return on equity (ROE) demonstrates significant variability, with exceptionally high values in Q3 and Q2 2023, indicating strong returns to equity holders during these periods. However, the absence of data for Q1 2023 limits the ability to assess the overall trend in ROE for the year.
Overall, there are fluctuations in Cogent Communications Holdings Inc's profitability ratios, suggesting areas of both strength and concern that may require further analysis to identify the underlying factors driving these fluctuations.