CF Industries Holdings Inc (CF)
Profitability ratios
Return on sales
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit margin | 34.08% | 33.86% | 33.28% | 34.23% | 38.77% | 43.04% | 44.05% | 48.65% | 52.40% | 51.81% | 52.01% | 45.42% | 36.51% | 27.69% | 23.01% | 21.09% | 19.42% | 20.83% | 23.30% | 25.39% |
| Operating profit margin | 28.57% | 28.51% | 26.95% | 28.20% | 34.01% | 39.32% | 40.40% | 44.19% | 48.25% | 47.81% | 43.98% | 37.57% | 26.45% | 14.82% | 19.48% | 17.21% | 15.11% | 15.77% | 18.54% | 21.60% |
| Pretax margin | 29.68% | 29.50% | 27.49% | 28.40% | 33.90% | 39.98% | 40.22% | 43.19% | 45.55% | 44.31% | 40.32% | 33.52% | 23.60% | 11.27% | 15.33% | 13.14% | 11.23% | 11.13% | 13.96% | 16.80% |
| Net profit margin | 20.52% | 19.46% | 17.87% | 19.03% | 23.00% | 27.53% | 27.36% | 29.26% | 29.91% | 28.70% | 25.28% | 19.73% | 14.03% | 5.86% | 9.95% | 9.52% | 7.69% | 7.00% | 8.87% | 10.33% |
CF Industries Holdings Inc has shown improvement in its profitability ratios over the past few years.
The gross profit margin has increased consistently from 25.39% in March 2020 to 34.08% in December 2024. This indicates that the company has been able to control its cost of goods sold relative to its revenue, resulting in higher gross profit margins.
Similarly, the operating profit margin has also shown a positive trend, increasing from 21.60% in March 2020 to 28.57% in December 2024. This suggests that CF Industries has been effectively managing its operating expenses to generate higher operating profits.
The pretax margin has more than doubled from 16.80% in March 2020 to 29.68% in December 2024. This significant improvement indicates that the company has been able to increase its profitability before accounting for taxes, showing strong operational performance and efficient cost management.
Lastly, the net profit margin has also shown a positive trend, increasing from 10.33% in March 2020 to 20.52% in December 2024. This indicates that CF Industries has been able to improve its bottom line profitability by effectively managing its expenses and generating higher net profits relative to its revenue.
Overall, CF Industries Holdings Inc's profitability ratios demonstrate a consistent improvement over the analyzed period, reflecting the company's effective cost control measures and operational efficiency.
Return on investment
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 12.59% | 12.32% | 11.51% | 12.39% | 15.69% | 22.26% | 26.01% | 34.07% | 40.54% | 40.02% | 33.29% | 22.78% | 13.97% | 6.43% | 7.44% | 6.02% | 5.18% | 5.38% | 6.61% | 7.92% |
| Return on assets (ROA) | 9.05% | 8.41% | 7.64% | 8.36% | 10.61% | 15.59% | 17.62% | 22.56% | 25.13% | 24.03% | 19.13% | 11.96% | 7.41% | 2.54% | 3.80% | 3.33% | 2.64% | 2.39% | 3.16% | 3.79% |
| Return on total capital | 23.97% | 34.71% | 31.25% | 32.98% | 40.95% | 54.94% | 61.68% | 84.87% | 107.13% | 118.72% | 96.88% | 77.86% | 53.46% | 25.02% | 26.86% | 23.74% | 21.66% | 23.53% | 27.46% | 34.02% |
| Return on equity (ROE) | 16.04% | 22.41% | 19.27% | 21.31% | 26.67% | 36.89% | 41.09% | 55.44% | 66.24% | 71.80% | 55.96% | 41.20% | 28.60% | 10.18% | 14.05% | 13.21% | 10.85% | 10.08% | 13.16% | 17.27% |
The profitability ratios of CF Industries Holdings Inc show variations over the quarters analyzed.
1. Operating return on assets (Operating ROA) has significantly improved from 7.92% in March 2020 to a peak of 40.54% in December 2022 before stabilizing around 12-15% in the recent quarters.
2. Return on assets (ROA) also shows an upward trend, with a similar peak in December 2022 at 25.13%. However, the ratio has slightly decreased in the latest quarters, hovering around 8-9%.
3. Return on total capital peaked at 118.72% in September 2022 but declined afterward to around 30-35% as of December 2024.
4. Return on equity (ROE) followed a similar pattern, reaching a high of 71.80% in September 2022 before decreasing to approximately 16% by December 2024.
Overall, the profitability ratios demonstrate fluctuations in performance over the years, with some metrics showing significant improvements but others experiencing declines in the recent periods. It is important to further investigate the reasons behind these fluctuations to assess the company's financial health and performance accurately.