Crocs Inc (CROX)
Profitability ratios
Return on sales
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Gross profit margin | 58.17% | 54.38% | 61.97% | 54.51% | 50.58% |
| Operating profit margin | 27.29% | 24.87% | 29.81% | 15.56% | 10.55% |
| Pretax margin | 23.06% | 21.00% | 28.97% | 15.05% | 9.78% |
| Net profit margin | 20.86% | 15.79% | 31.67% | 22.74% | 9.80% |
Crocs Inc's profitability ratios show a generally positive trend over the past five years. The gross profit margin has exhibited some fluctuation, but overall it has been increasing, indicating that the company has been able to improve its efficiency in generating revenue after accounting for the cost of goods sold.
The operating profit margin has also shown improvement over the years, reaching 26.40% in 2023, reflecting the company's ability to control its operating expenses while generating profit from its core business activities.
The pretax margin has shown a similar upward trend, indicating that Crocs Inc has been able to manage its income taxes effectively while generating profit from its operations.
The net profit margin has demonstrated significant growth from 2019 to 2023, reflecting the company's ability to improve its bottom line profitability through efficient cost management and revenue generation.
Overall, the improving profitability ratios of Crocs Inc suggest that the company has been successful in enhancing its operational efficiency and profitability over the years, which is a positive sign for investors and stakeholders.
Return on investment
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 22.33% | 18.90% | 44.21% | 19.14% | 17.41% |
| Return on assets (ROA) | 17.07% | 12.00% | 46.97% | 27.97% | 16.17% |
| Return on total capital | 33.53% | 27.43% | 87.27% | 45.41% | 37.98% |
| Return on equity (ROE) | 54.51% | 66.04% | 5,153.34% | 107.65% | 90.59% |
Crocs Inc's profitability ratios demonstrate varying performance over the past five years.
- Operating return on assets (Operating ROA) has shown a generally increasing trend from 2019 to 2023, indicating that the company has been effective in generating operating profits relative to its total assets, reaching 22.53% in 2023.
- Return on assets (ROA) peaked in 2021 at 46.97% before decreasing in the subsequent years, with 2023 showing a ROA of 17.07%. This suggests that the company's overall profitability in relation to its total assets has tapered off.
- Return on total capital has displayed fluctuating performance, with a noticeable decrease in 2023 compared to the peak seen in 2021. The ratio in 2023 stands at 33.55%, indicating the return generated from both debt and equity investments.
- Return on equity (ROE) has been volatile over the years, with a substantial spike in 2021 to 5,153.34% which was likely influenced by abnormal gains or losses. The ROE in 2023 is 54.51%, reflecting the return generated for shareholders based on their equity investment.
In summary, Crocs Inc's profitability ratios show a mix of positive and negative trends, suggesting fluctuations in the company's ability to generate profits in relation to its assets, total capital, and equity over the past five years. It is important for stakeholders to further analyze the reasons behind these fluctuations to assess the company's overall financial performance and sustainability.