Genpact Limited (G)
Profitability ratios
Return on sales
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit margin | 35.45% | 35.41% | 35.37% | 35.34% | 35.08% | 34.93% | 34.92% | 34.70% | 35.15% | 35.03% | 35.07% | 35.45% | 35.60% | 35.87% | 35.78% | 35.31% | 34.81% | 34.18% | 34.22% | 34.51% |
| Operating profit margin | 14.73% | 14.46% | 14.35% | 14.29% | 14.09% | 13.44% | 12.73% | 11.69% | 11.49% | 11.20% | 11.49% | 12.43% | 12.65% | 13.08% | 13.15% | 12.22% | 11.83% | 12.03% | 11.88% | 12.38% |
| Pretax margin | 14.20% | 13.99% | 13.77% | 13.72% | 13.45% | 12.79% | 12.09% | 10.88% | 10.64% | 10.27% | 10.56% | 11.79% | 12.01% | 12.30% | 12.21% | 10.99% | 10.80% | 11.20% | 11.36% | 11.85% |
| Net profit margin | 10.78% | 14.21% | 14.12% | 14.21% | 14.10% | 9.69% | 9.25% | 8.27% | 8.08% | 7.76% | 8.09% | 9.03% | 9.19% | 9.52% | 9.28% | 8.41% | 8.31% | 8.53% | 8.71% | 9.07% |
Genpact Limited's profitability ratios show some fluctuations over the period analyzed. The trend in the gross profit margin has been relatively stable, ranging between 34.18% and 35.78%. This indicates the company has been able to maintain a consistent level of profitability on its sales after accounting for the cost of goods sold.
The operating profit margin demonstrates more variability, with a range of 11.20% to 14.73%. The company's ability to control operating expenses and generate profit from its core operations has shown improvement over time, particularly in the last few quarters.
The pretax margin, reflecting the company's earnings before taxes relative to total revenue, has also displayed fluctuations but generally shows an increasing trend from 10.27% to 14.20%. This suggests that Genpact has been able to improve its operational efficiency and manage its tax liabilities effectively.
The net profit margin, which indicates the company's overall profitability after all expenses, has shown significant variation, ranging from 7.76% to 14.21%. The spike in net profit margin in the last quarter of 2023 and the subsequent drop in the following quarter may require further investigation to understand the contributing factors to such volatility.
Overall, Genpact Limited has shown a mix of stability and improvement in its profitability ratios over the period analyzed, with some fluctuations that may warrant closer attention to ensure sustained profitability in the future.
Return on investment
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 14.08% | 12.67% | 12.72% | 13.62% | 13.13% | 12.96% | 12.52% | 11.39% | 10.94% | 10.72% | 10.74% | 10.36% | 10.23% | 10.10% | 10.26% | 9.52% | 9.00% | 9.27% | 8.96% | 10.22% |
| Return on assets (ROA) | 10.30% | 12.45% | 12.51% | 13.54% | 13.14% | 9.34% | 9.10% | 8.06% | 7.70% | 7.42% | 7.56% | 7.53% | 7.43% | 7.35% | 7.23% | 6.56% | 6.33% | 6.57% | 6.57% | 7.49% |
| Return on total capital | 19.58% | 18.76% | 18.58% | 20.72% | 20.53% | 18.39% | 17.70% | 16.20% | 16.33% | 19.62% | 16.22% | 16.55% | 16.06% | 15.78% | 16.07% | 13.43% | 13.96% | 14.39% | 14.55% | 15.49% |
| Return on equity (ROE) | 21.50% | 27.69% | 27.71% | 27.94% | 28.08% | 21.38% | 21.10% | 18.87% | 19.35% | 19.45% | 19.61% | 20.26% | 19.47% | 19.02% | 19.27% | 17.94% | 16.81% | 17.75% | 19.16% | 20.96% |
Genpact Limited's profitability has shown a positive trend in recent periods based on the provided data on key profitability ratios.
1. Operating return on assets (Operating ROA) has been consistently improving from 10.22% as of March 31, 2020, to 14.08% as of December 31, 2024. This indicates that the company is generating increasing operating profits relative to its assets over time.
2. Return on assets (ROA) has also exhibited a positive trend, with a notable spike from 6.33% as of December 31, 2020, to 13.54% as of March 31, 2024. This suggests that Genpact is becoming more effective in generating profits from its total assets.
3. Return on total capital has shown fluctuations but generally an increasing trend, reaching 19.58% as of December 31, 2024, from 13.96% as of December 31, 2020. This indicates that the company's overall capital is being employed more efficiently to generate returns for shareholders and providers of debt.
4. Return on equity (ROE) has experienced a significant increase from 16.81% as of December 31, 2020, to 27.71% as of June 30, 2024, before slightly dropping to 21.50% as of December 31, 2024. This indicates that Genpact is delivering strong returns to its equity investors over the periods analyzed.
In conclusion, Genpact Limited has shown improvements in its profitability ratios over the analyzed periods, reflecting effective management of its assets, capital, and equity to generate profits for its stakeholders.