Danaher Corporation (DHR)
Profitability ratios
Return on sales
| 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 | Jun 30, 2020 | Mar 31, 2020 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit margin | 59.50% | 59.61% | 59.41% | 58.40% | 58.74% | 58.68% | 59.08% | 60.14% | 60.21% | 60.65% | 60.77% | 60.77% | 60.95% | 60.44% | 59.24% | 57.60% | 55.98% | 55.04% | 55.29% | 55.82% |
| Operating profit margin | 20.37% | 19.87% | 21.13% | 18.60% | 19.55% | 19.69% | 21.08% | 24.90% | 23.83% | 25.48% | 23.55% | 23.30% | 25.35% | 24.63% | 25.04% | 22.30% | 18.99% | 17.61% | 17.08% | 17.41% |
| Pretax margin | 19.46% | 18.91% | 19.94% | 20.06% | 21.11% | 22.93% | 24.09% | 25.82% | 26.35% | 26.19% | 24.79% | 25.14% | 25.80% | 25.14% | 25.04% | 23.66% | 20.17% | 19.27% | 19.19% | 17.65% |
| Net profit margin | 16.33% | 19.43% | 19.91% | 19.55% | 19.94% | 20.01% | 20.88% | 22.26% | 22.64% | 21.25% | 20.14% | 20.78% | 21.28% | 20.39% | 20.38% | 18.53% | 15.75% | 17.58% | 17.35% | 16.53% |
Based on the provided data for Danaher Corporation's profitability ratios, we can see a trend of fluctuating margins over the years.
1. Gross Profit Margin: Danaher's gross profit margin has been relatively stable, ranging from around 55% to 61% over the past few years. The margin was highest at around 60.95% in December 2021 and decreased slightly to around 58.74% by December 2023.
2. Operating Profit Margin: The operating profit margin shows more variability compared to the gross profit margin. It ranged from about 17% to 25% during the period. The highest operating profit margin was recorded at approximately 25.35% in December 2021, after which it fluctuated but generally trended downwards to around 20.37% by December 2024.
3. Pretax Margin: Danaher's pretax margin also shows fluctuations over the years, with a range of approximately 17% to 26%. The highest pretax margin was around 26.35% in December 2022, while it decreased to around 18.91% by September 2024.
4. Net Profit Margin: The net profit margin reflects the company's bottom line performance after accounting for all expenses. It ranged from about 15.75% to 22.64% over the period. The highest net profit margin recorded was about 22.64% in December 2022, but it decreased to around 16.33% by December 2024.
Overall, while the gross profit margin remained relatively stable, the operating, pretax, and net profit margins displayed more fluctuation, indicating varying levels of operational efficiency and cost management within Danaher Corporation during the period under consideration.
Return on investment
| 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 | Jun 30, 2020 | Mar 31, 2020 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 6.27% | 4.94% | 5.68% | 5.02% | 5.53% | 6.63% | 7.54% | 9.06% | 8.89% | 9.83% | 8.87% | 8.46% | 8.97% | 8.38% | 8.57% | 7.33% | 5.55% | 4.93% | 4.68% | 4.90% |
| Return on assets (ROA) | 5.03% | 4.83% | 5.35% | 5.28% | 5.64% | 6.74% | 7.47% | 8.10% | 8.45% | 8.19% | 7.59% | 7.55% | 7.54% | 6.94% | 6.98% | 6.09% | 4.61% | 4.92% | 4.76% | 4.65% |
| Return on total capital | 7.21% | 9.57% | 10.65% | 10.49% | 11.46% | 13.46% | 14.72% | 16.28% | 17.35% | 18.41% | 18.26% | 17.90% | 18.29% | 17.61% | 16.60% | 14.66% | 11.30% | 10.28% | 9.34% | 10.90% |
| Return on equity (ROE) | 7.87% | 7.59% | 8.42% | 8.24% | 8.91% | 11.29% | 12.26% | 13.39% | 14.23% | 14.13% | 13.32% | 13.57% | 13.88% | 13.17% | 12.74% | 11.37% | 8.83% | 9.44% | 9.35% | 10.33% |
The profitability ratios of Danaher Corporation depict a positive trend over the analyzed period from March 31, 2020, to December 31, 2024.
- Operating return on assets (Operating ROA) increased steadily from 4.90% in March 2020 to 9.83% in September 2022 with a slight dip to 4.94% by September 2024. This ratio indicates the company's ability to generate operating profits from its assets, showing an overall positive performance during the period.
- Return on assets (ROA) showed a similar upward trajectory, starting at 4.65% in March 2020 and peaking at 8.45% in December 2022. However, it decreased slightly to 5.03% by December 2024. This ratio reflects the company's efficiency in generating profits relative to its total assets.
- Return on total capital reflects a continuous increase from 10.90% in March 2020 to 18.41% in September 2022, before declining to 7.21% by December 2024. This ratio evaluates the profitability of all capital invested in the company, indicating a favorable performance trend during the period.
- Return on equity (ROE) also displayed an upward trend, rising from 10.33% in March 2020 to a peak of 14.23% in December 2022. Nevertheless, it slightly decreased to 7.87% by December 2024. ROE measures the return on shareholders' equity, highlighting the company's ability to generate profits relative to shareholder investments.
In summary, Danaher Corporation exhibited a positive profitability trend over the analyzed period, as reflected in its improving Operating ROA, ROA, return on total capital, and ROE ratios. The slight declines in some ratios towards the end of the period may indicate a need for further analysis to identify factors influencing the company's overall profitability.