Chesapeake Utilities Corporation (CPK)
Profitability ratios
Return on sales
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Gross profit margin | 81.84% | 84.71% | 83.47% | 81.59% | 81.91% |
| Operating profit margin | 22.49% | 21.00% | 23.00% | 23.09% | 22.16% |
| Pretax margin | 17.19% | 18.16% | 19.77% | 19.47% | 17.99% |
| Net profit margin | 13.00% | 13.19% | 14.64% | 14.65% | 13.58% |
Chesapeake Utilities Corp's profitability ratios have shown varying trends over the past five years. The gross profit margin has fluctuated, with a notable increase in 2020 followed by a decline in subsequent years. This indicates the company's ability to generate revenue after accounting for the cost of goods sold.
The operating profit margin has generally increased over the period, signaling improvements in operational efficiency and cost management. Despite some fluctuations, the company has been able to maintain a healthy level of profitability at the operating level.
The pretax margin has shown a mixed trend, reaching its peak in 2021 before slightly decreasing in recent years. This metric reflects the company's ability to generate profits before accounting for taxes, with fluctuations potentially influenced by changes in tax rates or expenses.
The net profit margin has also displayed some fluctuations, albeit with a generally increasing trend. This ratio indicates the company's overall profitability after all expenses, including taxes and interest payments. The company has maintained a stable level of profitability at the net income level.
Overall, Chesapeake Utilities Corp's profitability ratios suggest a generally stable financial performance over the past five years, with some fluctuations in specific margins. The company has shown resilience in maintaining reasonable levels of profitability despite changing market conditions.
Return on investment
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 4.56% | 6.45% | 6.20% | 5.83% | 5.96% |
| Return on assets (ROA) | 2.64% | 4.05% | 3.95% | 3.70% | 3.65% |
| Return on total capital | 6.26% | 10.49% | 10.03% | 9.69% | 10.83% |
| Return on equity (ROE) | 7.00% | 10.78% | 10.78% | 10.26% | 11.60% |
Chesapeake Utilities Corp's profitability ratios have shown some fluctuations over the past five years. The Operating Return on Assets (Operating ROA) has ranged from 4.88% to 6.45%, indicating the company's ability to generate operating income relative to its total assets. This ratio has shown a slight decrease in 2023 compared to the previous year.
The Return on Assets (ROA) measures the company's overall profitability in generating earnings from its assets. Chesapeake Utilities Corp's ROA has also fluctuated between 2.64% and 4.05% over the five-year period. The lower ROA in 2023 suggests that the company's ability to generate profit from its assets has declined.
The Return on Total Capital reflects the firm's efficiency in generating returns from both equity and debt capital. Chesapeake Utilities Corp's Return on Total Capital has shown a similar trend, ranging from 6.12% to 8.74% over the five-year period. The decrease in 2023 compared to the previous year indicates a decrease in overall profitability relative to the total capital employed.
Lastly, the Return on Equity (ROE) measures the company's ability to generate returns for its shareholders. Chesapeake Utilities Corp's ROE has ranged from 7.00% to 11.60% over the five-year period, with a decrease in 2023 compared to 2022. This decrease in ROE indicates a lower return for equity investors in the most recent year.
Overall, Chesapeake Utilities Corp's profitability ratios suggest some variability in performance over the past five years, with a slight decrease in profitability indicators in 2023 compared to the previous year. Further analysis and examination of the company's operational efficiency and financial management may provide insights into these fluctuations.