Eastman Chemical Company (EMN)
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 | 24.61% | 23.59% | 19.06% | 18.80% | 18.62% | 17.68% | 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% |
| Operating profit margin | 14.87% | 13.03% | 10.29% | 9.81% | 9.61% | 9.05% | 10.95% | 11.88% | 12.15% | 15.64% | 16.23% | 15.94% | 16.63% | 14.67% | 14.38% | 12.67% | 12.92% | 12.49% | 13.03% | 14.63% |
| Pretax margin | 11.50% | 12.92% | 10.30% | 10.17% | 9.89% | 6.18% | 7.86% | 8.60% | 9.23% | 13.56% | 13.91% | 9.55% | 10.33% | 5.80% | 4.77% | 6.40% | 6.26% | 6.05% | 7.33% | 10.44% |
| Net profit margin | 9.65% | 9.48% | 8.08% | 8.50% | 8.13% | 5.25% | 7.22% | 6.74% | 7.50% | 10.73% | 11.18% | 7.59% | 8.18% | 5.13% | 3.43% | 5.72% | 5.64% | 5.56% | 6.64% | 8.85% |
The profitability ratios of Eastman Chemical Company have shown some fluctuations over the reported periods.
- The gross profit margin, which indicates the percentage of revenue retained after deducting the cost of goods sold, started at 24.49% in March 2020, peaked at 24.75% in September 2021, but declined to 18.62% by December 2023 before rebounding to 24.61% by December 2024.
- The operating profit margin, a measure of the company's operating efficiency, stood at 14.63% in March 2020, reached its highest point at 16.23% in June 2022, but decreased to 9.61% by December 2023, before recovering to 14.87% by December 2024.
- The pre-tax margin, showing the percentage of each dollar of revenue that turns into profit before taxes, fluctuated throughout the periods, with a sharp increase from 4.77% in June 2021 to 13.91% in June 2022 but experienced a decline to 6.18% by September 2023, before picking up again to 12.92% by September 2024.
- The net profit margin, reflecting the company's profit after all expenses have been deducted, showed variability, with a notable increase in profitability from 3.43% in June 2021 to 11.18% in June 2022. However, it dipped to 5.25% by September 2023, before steadily rising to 9.65% by December 2024.
Overall, despite some fluctuations, Eastman Chemical Company has demonstrated resilience in maintaining healthy profitability margins over the analyzed periods. Ongoing monitoring of these ratios will be essential to track the company's financial performance and stability.
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) | 9.16% | 8.08% | 7.52% | 7.24% | 7.22% | 6.92% | 7.28% | 8.15% | 8.76% | 11.38% | 11.91% | 10.87% | 11.22% | 8.99% | 8.37% | 6.76% | 6.81% | 6.63% | 7.09% | 8.11% |
| Return on assets (ROA) | 5.95% | 5.88% | 5.91% | 6.27% | 6.11% | 4.02% | 4.80% | 4.63% | 5.41% | 7.81% | 8.20% | 5.18% | 5.52% | 3.14% | 1.99% | 3.05% | 2.97% | 2.95% | 3.61% | 4.91% |
| Return on total capital | 23.26% | 21.08% | 20.01% | 19.32% | 19.38% | 18.91% | 20.36% | 23.54% | 24.94% | 31.69% | 33.97% | 21.72% | 23.42% | 13.64% | 10.87% | 14.42% | 14.89% | 15.82% | 18.12% | 21.01% |
| Return on equity (ROE) | 15.66% | 15.65% | 15.69% | 16.70% | 16.38% | 10.95% | 13.43% | 13.36% | 15.41% | 21.73% | 22.92% | 13.88% | 15.02% | 8.35% | 5.40% | 7.93% | 7.94% | 7.77% | 9.58% | 13.21% |
Eastman Chemical Company's profitability ratios have shown fluctuations over the past few years.
1. Operating Return on Assets (Operating ROA):
- The Operating ROA has ranged from a low of 6.63% in September 2020 to a high of 11.91% in June 2022. Overall, the company has maintained a fairly stable Operating ROA, indicating efficient use of assets to generate operating income.
2. Return on Assets (ROA):
- The ROA has varied from 1.99% in June 2021 to 8.20% in June 2022. The company experienced a dip in ROA in mid-2021 but managed to recover and improve the ratio over the following periods. Overall, the ROA reflects the company's ability to generate profits from its total assets.
3. Return on Total Capital:
- The Return on Total Capital ranged from 10.87% in June 2021 to 33.97% in June 2022, indicating significant fluctuations over the periods. This ratio highlights the company's ability to generate returns for both equity and debt holders.
4. Return on Equity (ROE):
- The ROE ranged from 5.40% in June 2021 to 22.92% in June 2022. The company's ROE experienced notable changes, particularly in mid-2021, showing impacts on shareholder returns. Overall, the ROE reflects the company's efficiency in generating profits relative to shareholders' equity.
In conclusion, Eastman Chemical Company has demonstrated varying levels of profitability ratios, with some fluctuations but an overall ability to generate returns for its stakeholders. Monitoring these ratios over time can provide insights into the company's financial performance and efficiency in utilizing its assets and capital.