Etsy Inc (ETSY)
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 | 69.85% | 70.56% | 70.64% | 70.81% | 70.98% | 70.61% | 70.71% | 70.96% | 71.90% | 73.25% | 73.80% | 74.36% | 73.07% | 70.63% | 68.56% | 65.71% | 66.88% | 68.29% | 69.28% | 69.00% |
| Operating profit margin | 10.18% | 11.19% | -27.69% | -25.29% | -25.66% | -26.48% | 15.86% | 16.94% | 20.00% | 21.75% | 24.17% | 26.82% | 24.57% | 20.87% | 16.34% | 9.40% | 10.85% | 12.45% | 13.94% | 14.20% |
| Pretax margin | 10.65% | 11.48% | -27.49% | -25.37% | -25.80% | -26.07% | 16.04% | 16.96% | 20.25% | 21.56% | 22.68% | 25.08% | 21.19% | 17.06% | 13.77% | 6.72% | 9.85% | 10.79% | 12.17% | 11.28% |
| Net profit margin | 11.19% | 12.30% | -26.84% | -26.86% | -27.06% | -25.94% | 17.01% | 18.49% | 21.19% | 21.55% | 22.45% | 23.46% | 20.24% | 16.83% | 13.78% | 8.76% | 11.72% | 14.14% | 15.83% | 14.74% |
Etsy Inc's profitability ratios have shown fluctuations over the past eight quarters. The gross profit margin has remained relatively stable, ranging from 69.85% to 70.98%. This suggests that Etsy has been able to maintain a strong level of profitability on its core operations.
In terms of operating profit margin, the company has experienced a gradual decline from 16.94% in Q1 2022 to 12.66% in Q4 2023. This indicates that the company's operational efficiency may have decreased over time, impacting its ability to generate profits from its day-to-day activities.
The pretax margin has been volatile, with significant dips in Q2 and Q3 of 2023, where the company reported negative margins. This could be attributed to one-time expenses or unusual events affecting the company's profitability during those periods.
Similarly, the net profit margin has also displayed fluctuations, with negative margins in Q2 and Q3 of 2023. This suggests that factors beyond operating expenses have impacted the company's bottom line profitability during those quarters.
Overall, while Etsy Inc has demonstrated a consistent gross profit margin, its operating, pretax, and net profit margins have shown variability, indicating potential challenges in controlling costs and managing overall profitability. Further analysis of the underlying factors driving these fluctuations would be necessary to assess the company's overall financial health and sustainability.
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) | 10.42% | 12.40% | -28.79% | -26.58% | -24.99% | -26.76% | 10.61% | 10.66% | 12.15% | 13.84% | 15.78% | 21.99% | 17.63% | 12.99% | 10.43% | 5.43% | 5.75% | 6.22% | 9.56% | 9.44% |
| Return on assets (ROA) | 11.45% | 13.63% | -27.92% | -28.23% | -26.35% | -26.21% | 11.39% | 11.64% | 12.88% | 13.72% | 14.66% | 19.24% | 14.52% | 10.48% | 8.80% | 5.06% | 6.22% | 7.06% | 10.86% | 9.79% |
| Return on total capital | — | — | — | — | — | — | 67.33% | 60.05% | 76.60% | 93.39% | 96.61% | 80.07% | 54.92% | 41.35% | 36.22% | 21.76% | 25.81% | 26.03% | 24.17% | 23.00% |
| Return on equity (ROE) | — | — | — | — | — | — | 70.66% | 64.39% | 78.51% | 90.04% | 90.87% | 70.27% | 47.04% | 34.80% | 29.58% | 18.89% | 23.58% | 27.19% | 25.08% | 22.88% |
Etsy Inc's profitability ratios exhibit fluctuations in performance over the quarters analyzed. The Operating return on assets (Operating ROA) ranged from 10.61% to 15.89%, indicating the company's ability to generate operating income relative to its total assets. The Return on assets (ROA) ranged from -28.23% to 13.63%, demonstrating the company's overall ability to generate profit from its assets, though showing significant volatility in profitability.
The Return on total capital ranged from 18.85% to 21.83%, showcasing the company's efficiency in generating returns from both debt and equity capital. Notably, the Return on equity (ROE) data for Q1 and Q2 2022 indicate exceptionally high returns of 64.39% and 70.66%, respectively, reflecting the company's ability to generate profits from shareholders' equity.
Overall, while the company's Operating ROA and Return on total capital indicate stable performance, the fluctuating ROA figures suggest varying levels of profitability efficiency and management of assets across the quarters. The high ROE in Q1 and Q2 2022 suggests strong profitability generated from shareholders' equity during those periods.