Central Garden & Pet Company A (CENTA)

Profitability ratios

Return on sales

Sep 30, 2024 Sep 30, 2023 Sep 30, 2022 Sep 30, 2021 Sep 30, 2020
Gross profit margin 29.49% 28.60% 29.72% 29.39% 29.55%
Operating profit margin 5.79% 6.36% 7.79% 7.70% 7.34%
Pretax margin 4.41% 4.89% 5.94% 5.87% 5.67%
Net profit margin 3.37% 3.80% 4.56% 4.59% 4.48%

Central Garden & Pet Company A's profitability ratios over the past five years show a consistent trend. The gross profit margin has varied slightly between 28.60% and 29.72%, indicating the company's ability to efficiently manage production costs. However, the operating profit margin, pretax margin, and net profit margin have shown a gradual decline over the same period from 7.79% to 5.79%, 5.94% to 4.41%, and 4.56% to 3.37%, respectively. This suggests that the company may be facing challenges in controlling operating expenses and generating profits after accounting for taxes and other expenses. Overall, Central Garden & Pet Company A's profitability has shown some weaknesses in recent years, highlighting the need for improved cost management and revenue generation strategies to enhance overall profitability.


Return on investment

Sep 30, 2024 Sep 30, 2023 Sep 30, 2022 Sep 30, 2021 Sep 30, 2020
Operating return on assets (Operating ROA) 5.22% 6.23% 7.92% 8.17% 8.46%
Return on assets (ROA) 3.04% 3.72% 4.64% 4.87% 5.16%
Return on total capital 7.23% 8.30% 10.18% 10.49% 11.12%
Return on equity (ROE) 6.94% 8.66% 11.41% 12.42% 11.21%

Central Garden & Pet Company A's profitability ratios have shown a mixed trend over the past five years.

The Operating return on assets (Operating ROA) has been declining gradually from 8.46% in 2020 to 5.22% in 2024. This indicates that the company's operating efficiency in generating profits from its assets has slightly decreased over the years.

Return on assets (ROA) also shows a similar declining trend, starting at 5.16% in 2020 and reaching 3.04% in 2024. This suggests that the overall profitability of the company in relation to its total assets has weakened over the period.

Return on total capital has decreased consistently from 11.12% in 2020 to 7.23% in 2024. This ratio reveals how efficiently the company is using all of its capital to generate profits, and the decreasing trend indicates a decrease in profitability efficiency.

Return on equity (ROE) has fluctuated over the years, with a peak of 12.42% in 2021 and a low of 6.94% in 2024. ROE reflects the return on shareholder equity, and the fluctuating trend suggests inconsistent profitability in relation to the shareholders' investment.

Overall, Central Garden & Pet Company A's profitability ratios reflect a downward or inconsistent trend over the five-year period, indicating challenges in maintaining or improving profitability levels relative to its assets, capital, and equity.