Eastman Chemical Company (EMN)
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 | 22.38% | 21.04% | 20.68% | 20.59% | 20.20% | 21.28% | 22.37% | 22.74% | 23.86% | 24.75% | 24.61% | 23.10% | 23.31% | 22.92% | 23.22% | 24.49% | 24.09% | 23.33% | 24.38% | 24.91% |
| Operating profit margin | 8.84% | 7.57% | 7.58% | 7.82% | 8.10% | 12.88% | 13.69% | 13.88% | 14.60% | 15.08% | 14.25% | 11.08% | 11.33% | 10.23% | 11.49% | 14.51% | 13.63% | 13.43% | 14.60% | 15.25% |
| Pretax margin | 11.78% | 7.34% | 7.85% | 8.58% | 9.21% | 13.52% | 13.85% | 9.48% | 10.23% | 5.70% | 4.65% | 6.26% | 6.13% | 5.93% | 7.25% | 10.39% | 9.69% | 10.18% | 11.45% | 12.29% |
| Net profit margin | 9.71% | 6.24% | 7.21% | 6.73% | 7.50% | 10.73% | 11.18% | 7.59% | 8.18% | 5.13% | 3.43% | 5.72% | 5.64% | 5.56% | 6.64% | 8.85% | 8.19% | 8.12% | 9.45% | 10.07% |
Eastman Chemical Co's profitability ratios showed fluctuations over the past eight quarters.
- The gross profit margin ranged from 20.20% to 22.38%, with a general upward trend in recent quarters, indicating an improvement in the company's ability to generate profit from its core operations.
- The operating profit margin fluctuated between 10.75% and 12.84%, with a slight downward trend overall. This suggests that the company's operating efficiency slightly declined over the period.
- The pretax margin varied from 7.42% to 13.91%, showing significant volatility in profitability before taxes. The sharp decline in Q3 2023 compared to Q2 2023 is notable.
- The net profit margin ranged from 6.24% to 10.73%, displaying variability in overall profitability after accounting for all expenses and taxes.
In summary, Eastman Chemical Co experienced mixed profitability performance over the analyzed quarters, with improvements in gross profit margin offset by fluctuations in operating profit margin and significant volatility in pretax and net profit margins.
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) | 5.56% | 4.87% | 5.04% | 5.37% | 5.84% | 9.37% | 10.04% | 9.46% | 9.86% | 9.24% | 8.29% | 5.91% | 5.97% | 5.43% | 6.25% | 8.05% | 7.90% | 7.86% | 8.68% | 9.25% |
| Return on assets (ROA) | 6.11% | 4.01% | 4.79% | 4.62% | 5.41% | 7.81% | 8.20% | 5.18% | 5.52% | 3.14% | 1.99% | 3.05% | 2.97% | 2.95% | 3.61% | 4.91% | 4.74% | 4.75% | 5.62% | 6.11% |
| Return on total capital | 8.34% | 7.15% | 7.53% | 8.18% | 9.34% | 15.00% | 16.00% | 14.56% | 15.12% | 14.23% | 11.95% | 8.37% | 8.50% | 7.51% | 8.72% | 11.51% | 10.93% | 10.94% | 12.28% | 13.22% |
| Return on equity (ROE) | 16.38% | 10.93% | 13.41% | 13.34% | 15.39% | 21.73% | 22.92% | 13.88% | 15.02% | 8.35% | 5.40% | 7.93% | 7.94% | 7.77% | 9.58% | 13.21% | 12.74% | 12.74% | 15.56% | 17.10% |
From the provided data, we can observe the following trends in profitability ratios for Eastman Chemical Co:
1. Operating Return on Assets (Operating ROA): This ratio measures the company's operating income generated from its assets. The trend shows a slight decrease over the quarters from Q1 2022 to Q4 2023, indicating a slight decline in operating efficiency and/or profitability.
2. Return on Assets (ROA): ROA reflects the company's overall profitability by measuring the net income generated relative to its total assets. There is a fluctuation in ROA from Q1 2022 to Q4 2023, with a significant decrease in Q3 2022 followed by some recovery in the subsequent quarters.
3. Return on Total Capital: This ratio assesses the company's ability to generate profits from both equity and debt capital. The trend indicates a gradual decline in return on total capital from Q1 2022 to Q4 2023, suggesting a lower return on invested capital over time.
4. Return on Equity (ROE): ROE measures the return generated for the company's shareholders. The data shows fluctuations in ROE from Q1 2022 to Q4 2023, with a notable decrease in Q3 2022. However, there has been some improvement in ROE in the recent quarters.
Overall, the profitability ratios of Eastman Chemical Co exhibit varying trends over the analyzed periods, indicating fluctuations in the company's profitability and efficiency in utilizing its assets and capital. Further analysis and comparison with industry benchmarks would provide a more comprehensive understanding of the company's financial performance.