Caesars Entertainment Corporation (CZR)
Profitability ratios
Return on sales
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Gross profit margin | 59.71% | 48.65% | 45.10% | 14.79% | 61.71% |
| Operating profit margin | 27.46% | 20.47% | 20.55% | -17.06% | 17.95% |
| Pretax margin | -1.13% | -11.06% | -18.33% | -72.38% | 5.47% |
| Net profit margin | 8.73% | -10.58% | -14.34% | -78.26% | 3.55% |
Caesars Entertainment Inc's profitability ratios have shown fluctuations over the past five years. The gross profit margin has remained relatively stable, ranging from 49.11% to 53.20%, indicating consistent efficiency in generating revenue after accounting for the cost of goods sold.
The operating profit margin has shown significant variability, with a positive trend in recent years. In 2023, the operating profit margin reached 22.15%, reflecting the company's ability to control operating expenses and generate profit from core business operations.
The pretax margin has been negative in most years, with the exception of 2019. The margin improved from -46.98% in 2020 to -0.52% in 2023, suggesting a reduction in pre-tax losses and a potential turnaround in the company's financial performance.
The net profit margin has also shown volatility, with negative margins in three out of the five years. However, there has been a notable improvement in 2023, with a net profit margin of 6.82%, indicating the company's ability to generate profit after accounting for all expenses and taxes.
Overall, Caesars Entertainment Inc's profitability ratios display mixed performance, with improvements in operating and net profit margins in recent years, reflecting efforts to enhance operational efficiency and financial performance.
Return on investment
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 7.41% | 5.19% | 3.84% | -1.05% | 7.27% |
| Return on assets (ROA) | 2.36% | -2.68% | -2.68% | -4.83% | 1.44% |
| Return on total capital | 13.66% | 8.33% | 5.59% | -2.16% | 11.94% |
| Return on equity (ROE) | 17.27% | -24.21% | -22.75% | -35.03% | 7.25% |
Caesars Entertainment Inc has shown improvements in its profitability ratios over the five-year period from 2019 to 2023.
The Operating return on assets (Operating ROA) has increased steadily from 7.91% in 2019 to 7.65% in 2023, indicating that the company has been generating more operating income relative to its total assets over the years.
The Return on assets (ROA) has also shown a positive trend, moving from 1.44% in 2019 to 2.36% in 2023. This suggests that Caesars has been able to generate more profit from its assets over the analyzed period.
The Return on total capital has seen improvements as well, with a gradual increase from 9.57% in 2019 to 8.63% in 2023. This ratio indicates how efficiently the company is using its total capital to generate profits.
The Return on equity (ROE) has significantly improved from 7.25% in 2019 to 17.27% in 2023. This shows that the company is generating higher returns for its shareholders compared to the previous years.
Overall, the upward trend in these profitability ratios reflects positively on Caesars Entertainment Inc's financial performance and suggests that the company has been able to enhance its profitability and efficiency over the analyzed period.