Celsius Holdings Inc (CELH)
Profitability ratios
Return on sales
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Gross profit margin | 48.04% | 41.44% | 40.78% | 46.64% | 41.65% |
| Operating profit margin | 20.21% | -24.14% | -1.30% | 6.05% | -1.93% |
| Pretax margin | 22.14% | -23.36% | -1.29% | 6.61% | 18.06% |
| Net profit margin | 17.21% | -28.65% | 1.25% | 6.52% | 13.27% |
The profitability ratios of Celsius Holdings Inc have varied over the past five years. The gross profit margin has generally shown an increasing trend, reaching 48.04% in 2023 from 41.65% in 2019, indicating an improvement in the company's ability to generate profits from its core business activities.
However, the operating profit margin has been more volatile, with a significant decline to -24.14% in 2022 before rebounding to 20.21% in 2023. This indicates fluctuations in the company's operating efficiency and cost management during this period.
The pretax margin also experienced fluctuations, with negative values in 2022 and 2023 following positive margins in the earlier years. This suggests that the company faced challenges in managing its pre-tax profitability during these years.
The net profit margin, which reflects the company's bottom-line profitability after all expenses have been accounted for, also showed significant variability, with a sharp decline to -30.42% in 2022 before recovering to 13.81% in 2023.
Overall, while the gross profit margin indicates an improving trend in revenue generation, the operating, pretax, and net profit margins highlight the volatility and challenges in controlling expenses and maintaining profitability during the period under review.
Return on investment
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 17.34% | -12.91% | -1.30% | 6.03% | -1.60% |
| Return on assets (ROA) | 14.76% | -15.32% | 1.25% | 6.49% | 11.03% |
| Return on total capital | 100.88% | -393.61% | -1.88% | 7.58% | -2.28% |
| Return on equity (ROE) | 85.90% | -467.14% | 1.81% | 8.17% | 15.71% |
Celsius Holdings Inc's profitability ratios have shown fluctuations over the past five years.
The company's Operating Return on Assets (Operating ROA) has improved significantly from -12.91% in 2022 to 17.34% in 2023, indicating better operational efficiency in generating profits from its assets.
Return on Assets (ROA) increased from -16.27% in 2022 to 11.85% in 2023. This metric indicates that the company efficiently utilizes its assets to generate profits.
Return on Total Capital has shown a significant improvement, with the ratio increasing from -18.25% in 2022 to 100.78% in 2023. This suggests that the company's total capital investment is yielding higher returns.
Return on Equity (ROE) has also shown improvement over the years, increasing from -22.99% in 2022 to 68.93% in 2023. This indicates that the company is generating higher returns for its shareholders' equity.
Overall, the increasing trends in these profitability ratios suggest that Celsius Holdings Inc has been effectively managing its assets, capital, and equity to drive profitability and create value for its stakeholders.