ChampionX Corporation (CHX)
Profitability ratios
Return on sales
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Gross profit margin | 32.71% | 30.32% | 23.61% | 24.17% | 21.54% |
| Operating profit margin | 13.72% | 12.73% | 1.66% | 2.03% | -44.95% |
| Pretax margin | 12.00% | 11.16% | 5.13% | 4.93% | -40.23% |
| Net profit margin | 8.81% | 8.36% | 4.07% | 3.68% | -39.15% |
ChampionX Corporation has shown a positive trend in its profitability ratios over the past five years. The gross profit margin has increased steadily from 21.54% in December 31, 2020, to 32.71% in December 31, 2024. This indicates the company has been able to improve its efficiency in generating profits from its revenue.
Similarly, the operating profit margin has shown significant improvement, starting at -44.95% in December 31, 2020, and reaching 13.72% in December 31, 2024. This suggests that the company has been able to control its operating expenses more effectively and enhance its operational efficiency.
The pretax margin has also displayed a positive trend, increasing from -40.23% in December 31, 2020, to 12.00% in December 31, 2024. This indicates that ChampionX Corporation has been successful in managing its pre-tax profitability and generating higher returns before accounting for taxes.
Lastly, the net profit margin has shown consistent growth, rising from -39.15% in December 31, 2020, to 8.81% in December 31, 2024. This improvement reflects the company's ability to increase its bottom-line profitability after accounting for all expenses and taxes.
Overall, ChampionX Corporation's profitability ratios have experienced a positive trajectory, demonstrating the company's efforts in enhancing its operational efficiency and increasing its profitability over the years.
Return on investment
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 14.37% | 14.76% | 1.87% | 1.76% | -24.57% |
| Return on assets (ROA) | 9.23% | 9.69% | 4.57% | 3.21% | -21.40% |
| Return on total capital | 20.46% | 18.58% | 8.46% | 6.17% | -30.17% |
| Return on equity (ROE) | 17.35% | 18.74% | 9.15% | 6.40% | -45.75% |
ChampionX Corporation's profitability ratios show a diverse trend over the past five years. The Operating return on assets (Operating ROA) improved from a negative -24.57% in December 2020 to 14.37% in December 2024, indicating the company's ability to generate operating income relative to its assets has strengthened significantly.
Similarly, the Return on assets (ROA) also exhibited growth from -21.40% in December 2020 to 9.23% in December 2024, signifying the company's overall profitability in generating earnings from its total assets has improved steadily over the years.
The Return on total capital increased from -30.17% in December 2020 to 20.46% in December 2024, indicating that the company's efficiency in generating returns from both equity and debt capital has significantly improved.
Lastly, the Return on equity (ROE) saw growth from -45.75% in December 2020 to 17.35% in December 2024, suggesting that the company has been able to enhance its profitability for shareholders over the years.
Overall, ChampionX Corporation's profitability ratios have shown a positive trend, indicating improved operational efficiency and enhanced profitability over the past five years.