ESCO Technologies Inc (ESE)
Profitability ratios
Return on sales
| Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | |
|---|---|---|---|---|---|
| Gross profit margin | 38.44% | 38.73% | 38.37% | 37.77% | 37.25% |
| Operating profit margin | 11.51% | 11.02% | 10.86% | 9.06% | 9.30% |
| Pretax margin | 12.84% | 12.56% | 12.48% | 11.28% | 15.49% |
| Net profit margin | 10.07% | 9.77% | 9.65% | 8.88% | 13.64% |
ESCO Technologies Inc has shown consistent improvement in its profitability ratios over the past five years.
1. Gross Profit Margin: The company's gross profit margin has remained relatively stable, ranging from 37.25% in 2020 to 38.73% in 2023. In 2024, the margin slightly decreased to 38.44%, indicating that ESCO Technologies has been effectively managing its cost of goods sold.
2. Operating Profit Margin: ESCO Technologies has demonstrated a positive trend in its operating profit margin, with figures increasing from 9.06% in 2021 to 11.51% in 2024. This indicates that the company has been able to improve its operational efficiency and control its operating expenses over the years.
3. Pretax Margin: The pretax margin has generally increased from 11.28% in 2021 to 12.84% in 2024. This signifies that ESCO Technologies has been successful in managing its operating costs, interest expenses, and other non-operating expenses to generate higher profits before taxes.
4. Net Profit Margin: The net profit margin has shown a positive trend, with figures rising from 8.88% in 2021 to 10.07% in 2024. This indicates that ESCO Technologies has been efficient in managing its tax expenses and has improved its bottom line profitability over the years.
In summary, ESCO Technologies Inc has demonstrated an overall improvement in its profitability ratios, showcasing efficient cost management and operational effectiveness, which have positively impacted the company's bottom line performance.
Return on investment
| Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 6.33% | 6.20% | 5.59% | 4.11% | 4.95% |
| Return on assets (ROA) | 5.54% | 5.50% | 4.98% | 4.03% | 7.26% |
| Return on total capital | 10.83% | 10.53% | 9.43% | 7.18% | 11.97% |
| Return on equity (ROE) | 8.23% | 8.18% | 7.85% | 6.23% | 10.37% |
ESCO Technologies Inc's profitability ratios have displayed a generally positive trend over the past five years. The Operating return on assets (Operating ROA) has steadily increased from 4.95% in 2020 to 6.33% in 2024, indicating an improvement in the company's efficiency in generating profits from its assets through operations.
Return on assets (ROA) also reflects a positive trajectory, rising from 4.03% in 2021 to 5.54% in 2024. This indicates that ESCO Technologies has been effectively utilizing its assets to generate profits for its shareholders.
Return on total capital has shown a similar upward trend, increasing from 7.18% in 2021 to 10.83% in 2024. This demonstrates the company's ability to generate returns for both equity and debt holders on the total capital employed in its operations.
Return on equity (ROE) has also improved over the years, with a consistent rise from 6.23% in 2021 to 8.23% in 2024. This signifies the company's ability to generate returns for its investors on their equity investments.
Overall, ESCO Technologies Inc's profitability ratios indicate a positive trajectory, reflecting improved operational efficiency and effective utilization of assets and capital to generate returns for its stakeholders.