Clean Harbors Inc (CLH)
Profitability ratios
Return on sales
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Gross profit margin | 14.93% | 16.71% | 18.07% | 16.07% | 16.02% |
| Operating profit margin | 11.65% | 11.35% | 12.28% | 9.15% | 8.01% |
| Pretax margin | 9.27% | 9.33% | 10.41% | 7.09% | 5.56% |
| Net profit margin | 6.99% | 7.00% | 7.97% | 5.34% | 4.30% |
Clean Harbors Inc has shown a slight improvement in its gross profit margin over the past few years, increasing from 16.02% in 2020 to 18.07% in 2022 before declining slightly to 16.71% in 2023 and further to 14.93% in 2024. This indicates that the company has been able to effectively manage its cost of goods sold relative to its revenue.
In terms of operating profit margin, the company has shown consistent growth, with margins increasing from 8.01% in 2020 to 12.28% in 2022 before stabilizing around 11.35% in 2023 and 11.65% in 2024. This suggests that Clean Harbors Inc has been able to control its operating expenses efficiently while generating higher revenue.
The pretax margin has also shown a positive trend, rising from 5.56% in 2020 to 10.41% in 2022, indicating an improvement in the company's overall profitability before stabilizing between 9-9.33% in 2023 and 2024.
Net profit margin, which reflects the company's actual profitability after accounting for all expenses, has shown a steady increase from 4.30% in 2020 to 7.97% in 2022, before leveling off at around 7.00-6.99% in 2023 and 2024. This suggests that Clean Harbors Inc has been able to efficiently manage its expenses and generate consistent bottom-line profitability over the years.
Overall, Clean Harbors Inc has demonstrated improved profitability ratios over the years, indicating effective cost management and revenue generation strategies.
Return on investment
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 9.09% | 9.60% | 10.36% | 6.15% | 6.08% |
| Return on assets (ROA) | 5.45% | 5.92% | 6.72% | 3.59% | 3.26% |
| Return on total capital | 12.54% | 13.49% | 14.64% | 8.63% | 8.69% |
| Return on equity (ROE) | 15.63% | 16.81% | 21.42% | 13.43% | 10.05% |
Clean Harbors Inc has shown consistent improvement in profitability ratios over the past five years.
- Operating Return on Assets (Operating ROA): The company's operating ROA has increased from 6.08% in 2020 to 9.09% in 2024, indicating that management has become more effective in generating operating income relative to its assets.
- Return on Assets (ROA): Clean Harbors' overall ROA has also exhibited a positive trend, rising from 3.26% in 2020 to 5.45% in 2024. This shows that the company has been able to generate more profit from its assets over the years.
- Return on Total Capital: The return on total capital has shown an upward trajectory, improving from 8.69% in 2020 to 12.54% in 2024. This suggests that Clean Harbors has been utilizing its total capital more efficiently to generate returns for shareholders.
- Return on Equity (ROE): The ROE has experienced growth, increasing from 10.05% in 2020 to 15.63% in 2024. This signifies that the company has been effectively utilizing shareholder equity to generate profits and create value for investors.
Overall, Clean Harbors Inc's profitability ratios demonstrate a positive trend, reflecting improving efficiency and profitability over the analyzed period.