Eagle Materials Inc (EXP)
Profitability ratios
Return on sales
| Mar 31, 2024 | Mar 31, 2023 | Mar 31, 2022 | Mar 31, 2021 | Mar 31, 2020 | |
|---|---|---|---|---|---|
| Gross profit margin | 30.91% | 30.26% | 28.48% | 24.14% | 24.26% |
| Operating profit margin | 32.34% | 31.93% | 30.26% | 26.36% | 27.28% |
| Pretax margin | 27.87% | 27.86% | 26.04% | 25.39% | 6.75% |
| Net profit margin | 21.54% | 21.84% | 20.51% | 20.07% | 5.02% |
Eagle Materials Inc has shown a consistent improvement in its profitability ratios over the past five years. The gross profit margin has increased steadily from 24.26% in 2020 to 30.91% in 2024, indicating that the company has been able to effectively manage its cost of goods sold and improve its pricing strategies.
The operating profit margin also reflects positive trends, rising from 27.28% in 2020 to 32.34% in 2024. This suggests that Eagle Materials has been successful in controlling its operating expenses while increasing revenues, resulting in higher profitability at the operating level.
The pretax margin has shown a general upward trajectory, indicating the company's ability to generate higher operating profits relative to its total revenue. The net profit margin has also demonstrated significant improvement, increasing from 5.02% in 2020 to 21.54% in 2024. This suggests that Eagle Materials has been effective in managing its taxation and other non-operating expenses, resulting in higher net profits for shareholders.
Overall, based on the profitability ratios, Eagle Materials Inc appears to have a strong financial performance, with consistent improvements in its margins over the past five years.
Return on investment
| Mar 31, 2024 | Mar 31, 2023 | Mar 31, 2022 | Mar 31, 2021 | Mar 31, 2020 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 24.33% | 24.26% | 21.40% | 15.70% | 13.01% |
| Return on assets (ROA) | 16.21% | 16.60% | 14.51% | 11.96% | 2.39% |
| Return on total capital | 27.60% | 27.54% | 24.42% | 20.01% | 5.28% |
| Return on equity (ROE) | 36.50% | 38.93% | 33.02% | 24.98% | 7.32% |
Eagle Materials Inc has shown consistent improvement in its profitability ratios over the past five years, indicating strong operational efficiency and financial performance.
The Operating Return on Assets (Operating ROA) has been consistently increasing from 13.01% in 2020 to 24.33% in 2024, reflecting the company's ability to generate more operating income from its assets over time.
Similarly, the Return on Assets (ROA) has also been on an upward trend, reaching 16.21% in 2024 from 2.39% in 2020. This indicates that Eagle Materials Inc has been able to effectively utilize its assets to generate profits for its shareholders.
The Return on Total Capital and Return on Equity (ROE) ratios have also shown significant improvement, with both ratios consistently increasing over the past five years. This suggests that the company has been successful in generating higher returns for both its total invested capital and equity holders.
Overall, the profitability ratios of Eagle Materials Inc demonstrate a strong and improving financial performance, highlighting the company's effective management of assets and capital to drive profitability and shareholder value.