Diodes Incorporated (DIOD)
Profitability ratios
Return on sales
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit margin | 39.86% | 41.23% | 42.03% | 41.78% | 41.48% | 41.01% | 40.11% | 38.97% | 37.34% | 36.11% | 35.47% | 35.24% | 35.47% | 35.09% | 35.48% | 36.07% | 36.80% | 37.51% | 37.05% | 36.38% |
| Operating profit margin | 15.17% | 17.89% | 19.88% | 20.33% | 20.47% | 20.10% | 18.76% | 17.21% | 15.37% | 13.77% | 12.69% | 11.59% | 11.05% | 13.09% | 13.80% | 14.80% | 15.85% | 14.60% | 14.40% | 13.75% |
| Pretax margin | 16.62% | 18.63% | 19.99% | 19.57% | 19.45% | 20.34% | 19.62% | 18.62% | 17.13% | 14.11% | 12.34% | 10.66% | 9.81% | 11.99% | 13.10% | 14.46% | 15.59% | 14.38% | 14.05% | 13.31% |
| Net profit margin | 13.76% | 16.12% | 17.13% | 16.70% | 16.61% | 15.40% | 14.84% | 14.02% | 12.74% | 11.57% | 10.11% | 8.73% | 8.07% | 9.71% | 10.47% | 11.38% | 12.11% | 10.80% | 10.26% | 9.50% |
Diodes, Inc.'s profitability ratios show varying trends over the last eight quarters. The gross profit margin has been relatively stable, hovering around the range of 39% to 42%, indicating consistent control over the cost of goods sold.
The operating profit margin experienced some fluctuation, with a peak in Q2 2023 at 19.53% and a trough in Q1 2022 at 17.18%. This suggests some volatility in operating expenses and efficiency in generating operating profits during the period.
Similarly, the pretax margin had fluctuations, reaching a high of 20.66% in Q3 2022 and a low of 18.99% in Q1 2022. This metric reflects the ability of the company to manage both operating costs and non-operating expenses.
Net profit margin, a key indicator of overall profitability, increased steadily from Q1 2022 to Q3 2022 before experiencing some slight declines in the latter quarters. The net profit margin reached its peak at 16.99% in Q2 2023, showcasing the ability of Diodes, Inc. to translate revenue into net income. Further analysis of factors affecting expenses and revenue generation would provide insights into these profitability trends.
Return on investment
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 10.58% | 13.94% | 16.44% | 17.57% | 17.84% | 16.83% | 15.87% | 14.85% | 12.58% | 11.25% | 9.55% | 7.83% | 6.79% | 7.67% | 8.60% | 11.38% | 12.24% | 11.38% | 11.17% | 10.52% |
| Return on assets (ROA) | 9.60% | 12.56% | 14.16% | 14.43% | 14.48% | 12.90% | 12.55% | 12.10% | 10.42% | 9.45% | 7.61% | 5.90% | 4.96% | 5.68% | 6.53% | 8.75% | 9.35% | 8.42% | 7.96% | 7.27% |
| Return on total capital | 15.94% | 20.32% | 23.12% | 23.48% | 23.86% | 24.84% | 24.28% | 23.74% | 20.96% | 17.88% | 15.15% | 11.78% | 10.45% | 9.94% | 11.64% | 15.98% | 17.53% | 16.90% | 16.12% | 15.01% |
| Return on equity (ROE) | 13.05% | 17.40% | 19.95% | 20.67% | 21.89% | 21.83% | 21.19% | 20.19% | 18.49% | 16.69% | 14.01% | 11.71% | 10.18% | 9.64% | 11.06% | 12.60% | 13.85% | 13.16% | 12.79% | 12.10% |
Diodes, Inc. has exhibited a consistent trend of profitability over the past eight quarters. The Operating return on assets (Operating ROA) has shown a declining trend from 17.41% in Q1 2023 to 10.56% in Q4 2023, indicating a decrease in the efficiency of generating operating profits from its assets.
Similarly, Return on assets (ROA) has shown a decreasing trend from 14.43% in Q1 2023 to 9.60% in Q4 2023, suggesting a decline in the overall profitability generated from the company's total assets.
On the other hand, both Return on total capital and Return on equity (ROE) have also depicted a decreasing trend over the quarters, where Return on total capital has decreased from 23.12% in Q1 2023 to 13.87% in Q4 2023, and ROE has decreased from 20.67% in Q1 2023 to 13.05% in Q4 2023.
This declining trend across all profitability ratios indicates that Diodes, Inc. may be facing challenges in efficiently utilizing its assets and capital to generate profits. Further analysis of the company's operations, financial health, and strategic initiatives may be required to address the declining profitability trend.