Ecolab Inc (ECL)
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 | 43.49% | 43.17% | 42.58% | 41.48% | 40.28% | 39.38% | 38.46% | 38.16% | 37.76% | 37.91% | 38.34% | 39.17% | 40.19% | 40.86% | 41.43% | 40.82% | 40.88% | 40.96% | 41.20% | 41.59% |
| Operating profit margin | 18.09% | 18.38% | 15.37% | 14.29% | 13.18% | 11.97% | 10.14% | 8.47% | 6.61% | 6.68% | 8.35% | 10.40% | 12.55% | 13.09% | 12.96% | 11.30% | 11.47% | 11.91% | 12.49% | 13.64% |
| Pretax margin | 16.33% | 16.42% | 13.39% | 12.41% | 11.46% | 10.23% | 9.79% | 9.75% | 9.47% | 9.88% | 10.06% | 10.46% | 11.11% | 11.60% | 10.98% | 9.27% | 9.57% | 10.16% | 11.52% | 12.84% |
| Net profit margin | 13.42% | 13.04% | 10.95% | 10.01% | 8.96% | 8.18% | 7.96% | 7.96% | 7.69% | 8.13% | 8.17% | 8.45% | 8.87% | 9.08% | 8.66% | -11.11% | -9.76% | -8.21% | -6.17% | 10.32% |
Ecolab Inc's profitability ratios have shown varying trends over the past few years.
- Gross profit margin has generally been stable around 40% to 42%, with a slight decrease in the most recent quarters.
- Operating profit margin has fluctuated more significantly, with a decline from around 13% in early 2020 to below 10% in mid-2022, followed by a sharp increase to over 18% by the end of 2024.
- Pretax margin also experienced fluctuations, but showed an overall increasing trend, reaching over 16% by the end of 2024.
- Net profit margin, after posting negative margins in mid-2020, improved steadily to over 13% by the end of 2024, indicating that the company was able to effectively manage costs and improve profitability over time.
Overall, while Ecolab Inc faced challenges in maintaining profitability in the past, its efforts to control costs and enhance operational efficiency have led to improved profitability margins by the end of the observed period.
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) | 12.72% | 13.04% | 11.19% | 10.40% | 9.24% | 8.24% | 6.98% | 5.78% | 4.37% | 4.41% | 5.34% | 6.47% | 7.54% | 9.08% | 8.49% | 7.23% | 7.82% | 8.63% | 9.61% | 9.15% |
| Return on assets (ROA) | 9.44% | 9.25% | 7.98% | 7.28% | 6.28% | 5.63% | 5.47% | 5.43% | 5.09% | 5.36% | 5.22% | 5.26% | 5.33% | 6.30% | 5.67% | -7.11% | -6.65% | -5.94% | -4.74% | 6.92% |
| Return on total capital | 34.31% | 34.57% | 30.23% | 28.65% | 27.14% | 24.87% | 24.39% | 24.04% | 23.82% | 25.75% | 25.89% | 26.44% | 25.85% | 26.98% | 26.78% | 25.65% | 27.31% | 29.62% | 32.73% | 24.15% |
| Return on equity (ROE) | 24.12% | 23.92% | 20.66% | 18.90% | 17.06% | 15.80% | 15.54% | 15.70% | 15.09% | 15.98% | 15.59% | 15.65% | 15.64% | 16.29% | 15.66% | -20.58% | -19.54% | -17.89% | -14.65% | 17.52% |
Ecolab Inc's profitability ratios reflect varying levels of performance over the periods analyzed.
1. Operating Return on Assets (Operating ROA) trended downward from 9.15% in March 2020 to 4.37% in December 2022, before showing a notable improvement to reach 12.72% in December 2024. This ratio measures the company's operating income generated from its assets.
2. Return on Assets (ROA) experienced negative values in some quarters, suggesting challenges in generating profits from its assets. Despite fluctuations, ROA showed an increasing trend, culminating in a positive 9.44% in December 2024, indicating improved overall asset utilization efficiency.
3. Return on Total Capital demonstrates the returns generated from all sources of capital. This ratio fluctuated over the periods, reaching a peak of 34.57% in September 2024, signifying a robust performance in capital deployment efficiency.
4. Return on Equity (ROE) also exhibited volatility, dipping into negative territory in 2020 before recovering steadily. ROE peaked at 24.12% in December 2024, showcasing improved profitability relative to shareholders' equity.
In conclusion, Ecolab Inc's profitability ratios display fluctuations but suggest a positive overall trend towards improved profitability and efficiency in utilizing assets and capital over the analyzed periods.