CSW Industrials, Inc. (CSW)
Profitability ratios
Return on sales
| Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit margin | 43.82% | 44.78% | 44.85% | 45.12% | 44.87% | 44.24% | 44.04% | 43.20% | 42.55% | 41.99% | 41.50% | 41.31% | 40.87% | 40.55% | 40.18% | 41.65% | 43.03% | 44.08% | 45.68% | 45.99% |
| Operating profit margin | 19.77% | 20.72% | 21.11% | 21.34% | 20.80% | 20.07% | 18.68% | 18.20% | 17.62% | 17.13% | 16.29% | 15.53% | 14.95% | 13.89% | 14.23% | 13.96% | 14.65% | 14.19% | 15.01% | 16.94% |
| Pretax margin | 19.84% | 20.51% | 20.45% | 19.13% | 18.61% | 17.72% | 17.33% | 17.64% | 16.83% | 16.61% | 15.95% | 15.69% | 15.34% | 14.29% | 12.42% | 12.04% | 12.72% | 12.19% | 14.64% | 16.55% |
| Net profit margin | 15.18% | 15.56% | 15.53% | 13.77% | 13.44% | 12.82% | 12.47% | 13.35% | 12.82% | 12.72% | 11.94% | 11.49% | 11.16% | 10.34% | 9.55% | 9.26% | 9.88% | 9.61% | 11.77% | 13.28% |
The profitability ratios of CSW Industrials, Inc. over the period from September 2020 through June 2025 reflect several notable trends and insights.
Starting with the gross profit margin, the company has demonstrated a gradual and consistent increase, moving from 45.99% in September 2020 to 45.82% projected in June 2025. This indicates an improvement in the company's ability to manage production costs relative to sales, suggesting enhanced operational efficiencies or favorable product mix changes.
The operating profit margin shows a similar upward trajectory. It increased from 16.94% at the end of September 2020 to an estimated 19.77% by June 2025. This trend signals that CSW Industrials has been able to control operating expenses relative to revenue better over time, leading to higher operational profitability.
Pre-tax margins illustrate a steady growth from 16.55% in September 2020 to an anticipated 20.51% in March 2025. The increasing pre-tax profit margins further emphasize the company's improved efficiency and profitability before considering income tax effects.
Net profit margins, which account for taxes and other expenses, have also improved from 13.28% in September 2020 to an estimated 15.56% in March 2025. The sustained increase suggests effective cost management across all expense categories and possibly higher operating leverage.
Overall, CSW Industrials, Inc. exhibits a positive and steadily improving profitability profile across all key ratios during this period. The enhancement in gross, operating, pre-tax, and net profit margins underscores the company’s ongoing success in increasing operational efficiency and profitability, positioning it favorably for future growth.
Return on investment
| Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 11.79% | 13.19% | 13.42% | 13.19% | 16.15% | 15.25% | 14.63% | 13.93% | 12.99% | 12.44% | 11.44% | 10.66% | 9.77% | 8.74% | 8.78% | 8.35% | 7.93% | 6.80% | 6.55% | 16.35% |
| Return on assets (ROA) | 9.05% | 9.91% | 9.88% | 8.51% | 10.44% | 9.74% | 9.76% | 10.22% | 9.45% | 9.24% | 8.38% | 7.88% | 7.29% | 6.51% | 5.89% | 5.54% | 5.35% | 4.60% | 5.14% | 12.82% |
| Return on total capital | 16.24% | 16.84% | 17.35% | 16.57% | 25.15% | 24.95% | 25.36% | 26.00% | 25.71% | 26.48% | 25.58% | 24.27% | 23.10% | 20.27% | 17.10% | 15.58% | 15.27% | 12.98% | 12.24% | 18.62% |
| Return on equity (ROE) | 12.52% | 12.74% | 12.77% | 11.22% | 16.86% | 16.51% | 16.46% | 17.60% | 17.43% | 18.35% | 17.61% | 16.67% | 15.90% | 13.81% | 12.20% | 11.14% | 11.22% | 9.78% | 11.23% | 16.62% |
The profitability ratios for CSW Industrials, Inc. over the period from September 2020 to June 2025 reflect an overall positive trend with some fluctuations.
Operating Return on Assets (Operating ROA):
The Operating ROA experienced a significant decline from 16.35% in September 2020 to a low of 6.55% by December 2020, likely driven by external or internal factors affecting operational efficiency during that period. Subsequently, the ratio steadily increased, reaching 14.63% by December 2023. The trend indicates a gradual enhancement in operational profitability, with notable consistent improvement from March 2022 onward, culminating in a peak of 16.15% in June 2024. However, a decline is observed in the last two quarters of 2024 and early 2025, where the ratio dips below its previous peak, ending at 11.79% in June 2025.
Return on Assets (ROA):
ROA followed a similar trajectory, starting at 12.82% in September 2020, dropping sharply to 5.14% by December 2020, then gradually recovering over time. By December 2023, it reached 9.76%, with a slight subsequent increase, peaking at 10.44% in June 2024. Nevertheless, the ratio declined again to 9.05% in June 2025, indicating a potential compression in overall asset utilization efficiency.
Return on Total Capital:
The ROIC demonstrated a general upward trend from 18.62% in September 2020 to a peak of 26.48% in March 2023. After this peak, the ratio fluctuates slightly but begins to decline, ending at 16.24% in June 2025. The early period of improvement suggests enhanced efficiency in generating returns on capital, but the recent decrease indicates a reduction in profitability or increased capital costs.
Return on Equity (ROE):
ROE showed variability, starting at 16.62% in September 2020, dipping to a low of 9.78% by March 2021, then rising gradually to reach a high of 18.35% in March 2023. After this peak, the ratio exhibits minor fluctuations, ending at 12.52% in June 2025. The pattern points to a period of increased profitability for shareholders in the earlier years, with some compression in recent periods, possibly due to changes in net income or equity structure.
Summary:
Overall, CSW Industrials exhibited improving profitability metrics during the period from 2021 through early 2023, with notable gains in operating efficiency and return on invested capital. The latter part of the period shows signs of volatility and some decline in profitability ratios, which may be attributed to market conditions, operational challenges, or strategic adjustments. The trends suggest that the company experienced a sustained phase of profitability enhancement followed by a period of stabilization or slowdown at elevated levels.