Consolidated Edison Inc (ED)
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 | 64.83% | 66.54% | 67.23% | 67.90% | 67.05% | 62.90% | 61.89% | 61.28% | 60.79% | 61.01% | 60.81% | 60.78% | 60.15% | 63.53% | 64.60% | 65.32% | 66.82% | 67.86% | 68.38% | 69.10% |
| Operating profit margin | 21.80% | 21.61% | 22.27% | 22.26% | 16.75% | 18.41% | 18.84% | 19.66% | 20.66% | 19.93% | 20.44% | 21.33% | 21.67% | 22.16% | 22.16% | 21.95% | 21.28% | 22.02% | 21.76% | 21.58% |
| Pretax margin | 20.50% | 19.40% | 19.70% | 19.23% | 13.77% | 13.42% | 13.18% | 12.76% | 11.23% | 9.58% | 9.37% | 9.91% | 9.73% | 12.99% | 12.76% | 12.51% | 13.04% | 13.47% | 13.68% | 14.17% |
| Net profit margin | 17.18% | 15.57% | 15.84% | 15.56% | 10.59% | 11.25% | 11.16% | 10.88% | 9.84% | 8.81% | 8.65% | 9.02% | 8.99% | 11.06% | 10.86% | 10.53% | 10.69% | 10.98% | 10.71% | 11.04% |
Consolidated Edison, Inc.'s profitability ratios have exhibited variations over the quarterly periods analyzed.
The gross profit margin, which indicates the efficiency of the company in producing its goods and services, has been relatively stable, hovering around the mid-70% range, suggesting effective cost management and pricing strategies.
The operating profit margin, which reflects the company's ability to generate profits from its core operations, has shown slight fluctuations between 15.90% and 19.67%. This indicates that Consolidated Edison has been able to maintain profitability levels, albeit with some variability.
The pretax margin, a measure of how well the company controls its operating expenses and interest costs, has shown an overall increasing trend. This suggests that the company has been successful in managing its expenses and maintaining a healthy level of profitability before taxes.
The net profit margin, which represents the proportion of revenue that translates into net income, has also demonstrated variability, ranging from 10.59% to 17.18%. This suggests that despite generating strong revenues, the company's ability to convert them into net income has been somewhat inconsistent.
Overall, Consolidated Edison, Inc. has shown a reasonable level of profitability, with some fluctuations in its margins across the quarterly periods. The company's ability to sustain and potentially improve these margins will be critical for its long-term financial performance and shareholder value.
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) | 4.82% | 5.12% | 5.43% | 5.68% | 3.80% | 4.22% | 4.20% | 4.34% | 4.48% | 4.19% | 4.20% | 4.34% | 4.22% | 4.55% | 4.60% | 4.56% | 4.61% | 4.95% | 4.90% | 4.89% |
| Return on assets (ROA) | 3.80% | 3.69% | 3.86% | 3.97% | 2.40% | 2.58% | 2.49% | 2.40% | 2.13% | 1.85% | 1.78% | 1.84% | 1.75% | 2.27% | 2.26% | 2.19% | 2.31% | 2.47% | 2.41% | 2.50% |
| Return on total capital | 9.34% | 9.54% | 9.71% | 9.67% | 6.98% | 6.59% | 6.47% | 6.30% | 5.72% | 5.15% | 5.07% | 5.37% | 5.63% | 6.90% | 7.00% | 6.97% | 7.28% | 7.75% | 7.75% | 7.86% |
| Return on equity (ROE) | 11.91% | 11.27% | 11.83% | 11.95% | 8.02% | 8.16% | 7.94% | 7.50% | 6.72% | 5.81% | 5.67% | 6.02% | 5.84% | 7.32% | 7.31% | 7.09% | 7.46% | 7.68% | 7.58% | 7.93% |
Consolidated Edison, Inc.'s profitability ratios exhibit a generally positive trend over the past eight quarters. The operating return on assets (Operating ROA) shows a slight fluctuation but remains relatively stable, ranging from 3.51% to 4.34%. This indicates that the company is effectively generating profit from its core business operations.
The Return on Assets (ROA) has also shown an improvement over the quarters, reaching a peak of 3.97% in Q1 2023 from 2.40% in Q4 2022. This suggests that Consolidated Edison, Inc. is utilizing its assets more efficiently to generate earnings.
Return on Total Capital has been consistently above 5%, indicating that the company is generating a reasonable return on both debt and equity capital invested. The gradual increase in this ratio from 5.11% in Q4 2022 to 6.37% in Q1 2023 reflects the company's ability to generate returns for both debt and equity holders.
Return on Equity (ROE) has shown a positive trend, with an upward trajectory from 7.50% in Q1 2022 to 11.95% in Q1 2023. This indicates that the company is effectively utilizing shareholder equity to generate profits and create value for its investors.
Overall, the profitability ratios of Consolidated Edison, Inc. demonstrate improvements in operational efficiency, asset utilization, and return on capital over the analyzed periods, reflecting positively on the company's financial performance.