Enovis Corp (ENOV)
Profitability ratios
Return on sales
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Gross profit margin | 58.30% | 57.03% | 20.73% | 20.40% | 43.48% |
| Operating profit margin | -3.87% | -4.67% | -1.67% | -2.24% | 6.32% |
| Pretax margin | -2.74% | 1.50% | 1.39% | -0.07% | -15.39% |
| Net profit margin | -1.96% | -0.87% | 1.91% | 1.44% | -16.38% |
Enovis Corp's profitability ratios have shown some fluctuations over the past five years. The gross profit margin has generally improved, increasing from 42.11% in 2019 to 58.04% in 2023. This indicates that the company has been able to increase its ability to control the cost of goods sold relative to its revenue.
However, the operating profit margin has shown greater variability, ranging from 8.08% in 2019 to -5.80% in 2022. The negative operating profit margins in 2022 and 2023 suggest that Enovis Corp's operating expenses exceeded its gross profit in those years.
Similarly, the pretax margin and net profit margin have also fluctuated. The pretax margin was negative in 2020, 2022, and 2023, indicating that the company's operating expenses, interest expenses, and taxes exceeded its gross profit in those years. The net profit margin was negative in 2019 and 2020, improved in 2021 and 2022, but turned negative again in 2023.
Overall, the profitability ratios of Enovis Corp indicate varying levels of efficiency in managing costs and generating profits over the past five years. It is essential for the company to closely monitor and control its operating expenses to improve its profitability in the future.
Return on investment
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | -1.46% | -1.67% | -0.74% | -0.90% | 2.76% |
| Return on assets (ROA) | -0.74% | -0.31% | 0.84% | 0.58% | -7.14% |
| Return on total capital | -0.69% | 1.34% | 1.21% | 0.89% | -6.58% |
| Return on equity (ROE) | -0.97% | -0.39% | 1.55% | 1.20% | -15.33% |
Enovis Corp's profitability ratios indicate fluctuating performance over the past five years. The Operating ROA shows a negative trend with a decrease from 3.64% in 2019 to -1.07% in 2023, indicating inefficiencies in utilizing assets to generate operating income. Similarly, ROA exhibits a downward trend, moving from a significantly negative figure in 2019 to a slightly negative figure in 2023, implying challenges in generating profits from assets.
The Return on total capital also demonstrates a declining trend, dropping from 4.67% in 2019 to -1.25% in 2023, highlighting a decrease in the profitability of the total capital employed in the business. Furthermore, ROE shows a mixed performance, ranging from a negative figure in 2019 to a positive figure in 2021, before declining to -0.97% in 2023, indicating inconsistent returns to equity shareholders.
Overall, Enovis Corp's profitability ratios suggest a need for the company to address operational inefficiencies, improve asset utilization, and enhance overall profitability to ensure sustainable growth in the future.