Cavco Industries Inc (CVCO)
Profitability ratios
Return on sales
| Mar 31, 2025 | Mar 31, 2024 | Mar 31, 2023 | Mar 31, 2022 | Mar 31, 2021 | |
|---|---|---|---|---|---|
| Gross profit margin | 23.10% | 23.79% | 25.90% | 25.12% | 21.57% |
| Operating profit margin | 9.44% | 9.97% | 8.62% | 12.44% | 8.02% |
| Pretax margin | 10.47% | 11.10% | 14.32% | 13.03% | 8.75% |
| Net profit margin | 8.49% | 8.79% | 11.23% | 12.15% | 6.92% |
Cavco Industries Inc has shown improvement in its gross profit margin over the past five years, increasing from 21.57% in March 2021 to 23.10% in March 2025. This indicates the company's ability to efficiently manage its production costs and generate more profits from its sales.
In terms of operating profit margin, Cavco Industries Inc has demonstrated variability over the same period, with a peak of 12.44% in March 2022 and a low of 8.02% in March 2021. Although there was some fluctuation, the company managed to maintain a positive trend overall.
Looking at pretax margin, Cavco Industries Inc experienced a steady improvement from 8.75% in March 2021 to 10.47% in March 2025. This indicates that the company's operational efficiency and cost management have been consistent in contributing to increasing profitability before taxes.
When it comes to net profit margin, Cavco Industries Inc's performance has been mixed, with a peak of 12.15% in March 2022 and a low of 6.92% in March 2021. Despite some fluctuations, the company has managed to remain profitable, albeit at slightly reduced rates in the later years compared to the initial period.
Overall, Cavco Industries Inc has shown resilience in maintaining profitability over the past five years, with improvements in gross profit margin and a stable trend in operating profit margin and pretax margin. The company may want to focus on strategies to sustain or enhance net profit margin moving forward.
Return on investment
| Mar 31, 2025 | Mar 31, 2024 | Mar 31, 2023 | Mar 31, 2022 | Mar 31, 2021 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | — | 13.22% | 14.13% | 17.53% | 9.33% |
| Return on assets (ROA) | — | 11.65% | 18.39% | 17.12% | 8.05% |
| Return on total capital | — | 19.43% | 30.53% | 24.30% | 12.88% |
| Return on equity (ROE) | — | 15.27% | 24.64% | 23.81% | 11.21% |
Cavco Industries Inc has shown a positive trend in profitability ratios over the past few years.
1. Operating return on assets (Operating ROA) has improved from 9.33% in March 2021 to 17.53% in March 2022, indicating that the company is generating more operating income from its assets. Although there was a slight decrease in the following years, the ratio remained relatively high, at 14.13% in March 2023 and 13.22% in March 2024.
2. Return on assets (ROA) has also seen a significant increase from 8.05% in March 2021 to 17.12% in March 2022, showing the company's ability to generate more profit relative to its total assets. The ratio further improved to 18.39% in March 2023 but decreased to 11.65% in March 2024.
3. Return on total capital demonstrates the company's ability to generate returns for both equity and debt holders. The ratio has shown a notable increase from 12.88% in March 2021 to 24.30% in March 2022 and further to 30.53% in March 2023. However, there was a decrease to 19.43% in March 2024.
4. Return on equity (ROE) has also displayed a positive trend, escalating from 11.21% in March 2021 to 23.81% in March 2022, and then to 24.64% in March 2023. However, there was a decrease to 15.27% in March 2024.
Overall, Cavco Industries Inc has exhibited strong profitability performance, with improvements in operating efficiency and returns to both assets and equity holders. The variation in ratios over the years may require further analysis to identify underlying factors influencing the company's profitability.