Fresh Del Monte Produce Inc (FDP)
Profitability ratios
Return on sales
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Gross profit margin | 8.36% | 8.12% | 7.66% | 7.14% | 5.97% |
| Operating profit margin | 4.59% | 1.35% | 3.52% | 2.61% | 1.82% |
| Pretax margin | 4.00% | 0.16% | 2.67% | 1.93% | 1.29% |
| Net profit margin | 3.32% | -0.26% | 2.22% | 1.88% | 1.17% |
Fresh Del Monte Produce Inc has shown consistent improvement in its profitability ratios over the years.
- Gross profit margin has been gradually increasing from 5.97% in 2020 to 8.36% in 2024. This indicates that the company has been able to control its cost of goods sold and generate more profits from its sales.
- Operating profit margin has shown fluctuation, with a significant increase from 1.82% in 2020 to 4.59% in 2024. This improvement suggests that Fresh Del Monte Produce Inc has been able to manage its operating expenses more efficiently and increase profitability from its core operations.
- Pretax margin has also shown improvement, increasing from 1.29% in 2020 to 4.00% in 2024. This indicates that the company has been able to generate more profit before taxes relative to its total revenue over the years.
- Net profit margin, which represents the amount of each dollar of revenue that translates into profit after all expenses are deducted, has shown mixed performance. After a dip in 2023 with a negative net profit margin of -0.26%, the company rebounded in 2024 with a net profit margin of 3.32%, indicating that the bottom line profitability has improved.
Overall, the trends in these profitability ratios suggest that Fresh Del Monte Produce Inc has been successful in improving its operational efficiency and generating higher profitability over the years, with some fluctuations in net profit margin that should be monitored closely.
Return on investment
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 6.34% | 1.84% | 4.52% | 3.27% | 2.34% |
| Return on assets (ROA) | 4.59% | -0.36% | 2.85% | 2.35% | 1.51% |
| Return on total capital | 9.53% | 1.62% | 7.51% | 5.68% | 4.38% |
| Return on equity (ROE) | 7.14% | -0.60% | 5.18% | 4.44% | 2.85% |
Fresh Del Monte Produce Inc's profitability ratios have shown a mixed performance over the years.
- Operating Return on Assets (Operating ROA): The company's Operating ROA has gradually increased from 2.34% in 2020 to 6.34% in 2024, indicating an improvement in its ability to generate profits from its operating assets.
- Return on Assets (ROA): The ROA also demonstrates an upward trend, with values ranging from 1.51% in 2020 to 4.59% in 2024. Despite a negative ROA in 2023, the company managed to recover and significantly improve its profitability in the following year.
- Return on Total Capital: The Return on Total Capital has been on an increasing trend, rising from 4.38% in 2020 to 9.53% in 2024. This suggests that the company has been effective in generating returns from both its equity and debt capital.
- Return on Equity (ROE): The ROE experienced fluctuations, with the highest value of 7.14% in 2024 and the lowest of -0.60% in 2023. Overall, the company's ROE has generally improved over the years, indicating enhanced profitability for its shareholders.
In conclusion, Fresh Del Monte Produce Inc has demonstrated a mixed performance in terms of profitability ratios, with improvements in Operating ROA, ROA, Return on Total Capital and ROE over the years, albeit with some fluctuations. This suggests that the company has been effectively utilizing its assets and capital to generate profits and create value for its shareholders.