Charter Communications Inc (CHTR)
Profitability ratios
Return on sales
Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
---|---|---|---|---|---|
Gross profit margin | 90.51% | 89.63% | 91.01% | 90.33% | 88.86% |
Operating profit margin | 23.81% | 23.00% | 22.14% | 20.37% | 17.48% |
Pretax margin | 12.22% | 11.26% | 12.34% | 11.07% | 8.00% |
Net profit margin | 9.23% | 8.35% | 9.36% | 9.01% | 6.70% |
Charter Communications Inc has shown a consistent improvement in its gross profit margin over the years, increasing from 88.86% in December 2020 to 90.51% in December 2024. This indicates the company's ability to efficiently manage its production costs and generate higher profits from its revenue.
In terms of operating profit margin, Charter Communications Inc has demonstrated notable growth, rising from 17.48% in December 2020 to 23.81% in December 2024. This suggests that the company has been effectively controlling its operating expenses and is operating more efficiently.
The pretax margin of Charter Communications Inc has also seen an upward trend, increasing from 8.00% in December 2020 to 12.22% in December 2024. This indicates the company's ability to generate higher profits before accounting for taxes, reflecting improved operational efficiency and profitability.
Similarly, the net profit margin of Charter Communications Inc has shown an increase from 6.70% in December 2020 to 9.23% in December 2024. This demonstrates the company's ability to translate its revenue into net income more effectively over time.
Overall, Charter Communications Inc has exhibited strong profitability ratios, with improving margins across gross profit, operating profit, pretax profit, and net profit over the years. This trend suggests the company's effective cost management and operational efficiency, ultimately leading to enhanced profitability.
Return on investment
Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
---|---|---|---|---|---|
Operating return on assets (Operating ROA) | 8.74% | 8.53% | 8.28% | 7.39% | 5.83% |
Return on assets (ROA) | 3.39% | 3.10% | 3.50% | 3.27% | 2.23% |
Return on total capital | 12.18% | 11.75% | 11.37% | 10.26% | 7.96% |
Return on equity (ROE) | 32.61% | 41.11% | 55.43% | 33.12% | 13.53% |
Charter Communications Inc's profitability ratios have demonstrated positive trends over the years.
1. Operating return on assets (Operating ROA) has consistently improved from 5.83% in December 31, 2020, to 8.74% in December 31, 2024, indicating that the company is efficiently generating operating income in relation to its total assets.
2. Return on assets (ROA) has shown a general increasing trend, reaching 3.39% by December 31, 2024, reflecting the company's ability to generate profit from its total assets.
3. The return on total capital has also exhibited steady growth, climbing from 7.96% in December 31, 2020, to 12.18% in December 31, 2024, indicating that Charter Communications is effectively utilizing its total capital to generate returns.
4. Return on equity (ROE) experienced significant fluctuations but generally improved from 13.53% in December 31, 2020, to 32.61% in December 31, 2024, showing an increase in the company's ability to generate returns for its shareholders based on their equity investment.
Overall, the increasing trend in these profitability ratios suggests that Charter Communications Inc has been successful in enhancing its operational efficiency and effectively leveraging its assets and capital to generate profits for its stakeholders.