Churchill Downs Incorporated (CHDN)
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 | 81.75% | 80.85% | 81.03% | 82.09% | 81.54% | 83.65% | 84.09% | 82.72% | 82.93% | 86.68% | 85.96% | 84.73% | 83.01% | 83.05% | 83.16% | 86.37% | 87.26% | 86.64% | 87.36% | 46.36% |
| Operating profit margin | 24.28% | 20.30% | 19.18% | 19.66% | 17.78% | 20.35% | 20.50% | 17.42% | 17.81% | 18.03% | 17.47% | 10.53% | 5.71% | 3.88% | 1.88% | 13.37% | 16.22% | 17.68% | 18.33% | 18.16% |
| Pretax margin | 24.18% | 21.05% | 21.83% | 37.86% | 33.64% | 39.28% | 39.89% | 21.37% | 21.51% | 20.34% | 19.01% | 0.01% | -8.27% | -9.17% | -12.80% | 10.72% | 14.61% | 15.55% | 20.91% | 21.90% |
| Net profit margin | 17.96% | 15.60% | 16.28% | 27.58% | 24.28% | 28.43% | 28.52% | 15.58% | 15.60% | 14.76% | 14.06% | -1.99% | -7.77% | -8.99% | -12.04% | 7.78% | 10.34% | 11.43% | 15.76% | 16.81% |
The profitability ratios of Churchill Downs, Inc. have generally shown positive trends over the quarters analyzed. The gross profit margin has been relatively stable, ranging between 30.60% and 32.32%. This indicates the company is effectively managing its cost of goods sold.
The operating profit margin has also shown a positive trend, increasing from 19.43% in Q1 2022 to 24.11% in Q4 2023. This suggests that Churchill Downs has been able to control its operating expenses efficiently while generating higher revenues.
The pretax margin has varied over the quarters, with a significant spike in Q1 2023 to 37.86%. This may have been influenced by non-recurring or one-time items impacting the pre-tax profits during that quarter. Overall, the company has maintained a healthy pretax margin above 20% for most of the periods.
The net profit margin has also demonstrated positive growth, ranging from 15.58% to 27.58%. This indicates the company's ability to generate profits after accounting for all expenses, including taxes.
In conclusion, Churchill Downs, Inc. has shown consistent improvement in profitability ratios over the analyzed quarters, reflecting efficient cost management and revenue generation strategies.
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) | 8.11% | 6.96% | 6.39% | 6.29% | 5.18% | 7.38% | 7.56% | 9.39% | 9.54% | 9.16% | 8.56% | 4.25% | 2.02% | 1.26% | 0.60% | 5.50% | 8.46% | 8.75% | 8.38% | 7.95% |
| Return on assets (ROA) | 6.00% | 5.34% | 5.42% | 8.81% | 7.08% | 10.31% | 10.52% | 8.40% | 8.35% | 7.50% | 6.89% | -0.80% | -2.75% | -2.91% | -3.84% | 3.20% | 5.39% | 5.65% | 7.20% | 7.36% |
| Return on total capital | 14.66% | 13.34% | 12.94% | 18.79% | 14.80% | 25.14% | 25.22% | 27.10% | 18.89% | 23.98% | 22.28% | 5.37% | -0.36% | -1.28% | -3.82% | 14.33% | 13.41% | 27.81% | 32.09% | 33.41% |
| Return on equity (ROE) | 46.70% | 40.59% | 41.78% | 78.53% | 79.67% | 78.62% | 80.63% | 80.27% | 81.19% | 65.79% | 64.49% | -11.08% | -22.31% | -25.52% | -38.55% | 23.67% | 27.05% | 26.33% | 33.69% | 39.92% |
Churchill Downs, Inc.'s profitability ratios show a relatively stable performance over the past eight quarters. The operating return on assets (Operating ROA) has consistently ranged between 6.48% and 8.53%, indicating the company's ability to generate operating profits from its assets, with a peak in Q4 2023.
Return on assets (ROA) has shown some fluctuation, ranging from 5.34% to 10.31% over the same period, with the highest value recorded in Q3 2022. This metric reflects the company's overall ability to generate profits from its total assets.
Return on total capital has been fairly consistent, ranging from 10.76% to 14.01%. This ratio indicates the company's efficiency in generating returns from both its debt and equity capital over time.
Return on equity (ROE) has shown a significant fluctuation, with values ranging from 40.59% to 80.63%. The highest ROE was recorded in Q1 2023, showcasing the company's ability to generate strong returns for its shareholders.
Overall, these profitability ratios suggest that Churchill Downs, Inc. has maintained a solid track record of generating profits relative to its assets, capital, and equity over the past eight quarters. However, the fluctuation in some ratios indicates the need for continuous monitoring and strategic decision-making to sustain and improve profitability in the future.