Cytek Biosciences Inc (CTKB)
Profitability ratios
Return on sales
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Gross profit margin | 55.43% | 56.69% | 61.56% | 61.86% | 55.70% |
| Operating profit margin | -10.24% | -14.43% | -1.11% | 5.04% | 14.71% |
| Pretax margin | -2.84% | -8.14% | 0.77% | 4.65% | 15.54% |
| Net profit margin | -3.00% | -6.29% | 1.57% | 3.45% | 20.91% |
Cytek Biosciences Inc's gross profit margin has shown positive trends over the years, starting at 55.70% in 2020, peaking at 61.86% in 2021, and remaining relatively stable around the high 50s to low 60s. This indicates that the company has been efficient in managing its production costs and generating profits from its core business activities.
However, the operating profit margin, which reflects the company's ability to control its operating expenses relative to revenue, declined significantly from 14.71% in 2020 to -10.24% in 2024. This trend raises concerns about the company's operational efficiency and cost management, as it experienced a shift from profitability to operating losses over the years.
Similarly, Cytek Biosciences Inc's pretax margin and net profit margin also displayed deteriorating profitability ratios over the same period. The pretax margin decreased from 15.54% in 2020 to -2.84% in 2024, indicating a decline in profitability before accounting for taxes. The net profit margin, a key indicator of overall profitability, went down from 20.91% in 2020 to -3.00% in 2024, signaling that the company's bottom line has been impacted by decreased profitability and potentially inefficient cost control measures.
In conclusion, while Cytek Biosciences Inc has maintained a relatively stable gross profit margin, its operating profit margin, pretax margin, and net profit margin have experienced significant declines, suggesting challenges in managing operating expenses and overall profitability. The company may need to address these issues to improve its financial performance and ensure sustainable profitability in the future.
Return on investment
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | -4.11% | -5.63% | -0.35% | 1.39% | 6.21% |
| Return on assets (ROA) | -1.21% | -2.46% | 0.50% | 0.95% | 8.82% |
| Return on total capital | 0.00% | -3.47% | 0.90% | 2.25% | — |
| Return on equity (ROE) | -1.52% | -3.09% | 0.61% | 1.09% | — |
Cytek Biosciences Inc's profitability ratios indicate a declining trend over the years.
- Operating Return on Assets (Operating ROA):
- Declined from 6.21% in December 2020 to -4.11% in December 2024.
- The negative percentages in the last years indicate that the company's operating income generated from its assets is insufficient to cover the operating expenses.
- Return on Assets (ROA):
- Decreased from 8.82% in December 2020 to -1.21% in December 2024.
- This ratio suggests that the company's ability to generate profits from its total assets has also worsened over time.
- Return on Total Capital:
- Varied inconsistently from not available in 2020 to 0% in 2024.
- The significant variability suggests instability in the utilization of the total capital employed in the business.
- Return on Equity (ROE):
- Started at not available in 2020, reaching -1.52% in December 2024.
- Shareholders' return on their investment has been deteriorating, indicating a decrease in profitability relative to the equity invested.
Overall, Cytek Biosciences Inc's profitability seems to be under pressure due to declining returns on assets, capital, and equity. Management may need to address operational inefficiencies and find ways to improve profitability to ensure sustainable growth and investor confidence.