General Dynamics Corporation (GD)
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 | 92.76% | 92.64% | 92.53% | 92.30% | 92.22% | 92.10% | 92.06% | 91.84% | 91.64% | 91.62% | 91.56% | 91.70% | 91.85% | 91.99% | 92.04% | 91.97% | 91.84% | 69.03% | 48.39% | 28.42% |
| Operating profit margin | 10.05% | 10.12% | 10.09% | 10.07% | 10.04% | 10.09% | 10.34% | 10.63% | 10.69% | 10.72% | 10.79% | 10.74% | 10.82% | 11.04% | 11.06% | 10.73% | 10.90% | 10.71% | 10.99% | 11.56% |
| Pretax margin | 9.51% | 9.55% | 9.51% | 9.44% | 9.42% | 9.57% | 9.86% | 10.19% | 10.24% | 10.17% | 10.18% | 10.07% | 10.07% | 10.15% | 10.09% | 9.69% | 9.86% | 9.86% | 10.07% | 10.65% |
| Net profit margin | 7.93% | 7.90% | 7.88% | 7.85% | 7.84% | 7.96% | 8.24% | 8.50% | 8.60% | 8.61% | 8.60% | 8.52% | 8.47% | 8.55% | 8.52% | 8.22% | 8.35% | 8.34% | 8.47% | 8.87% |
General Dynamics Corporation has shown a consistent improvement in its profitability ratios over the years. The gross profit margin has steadily increased from 28.42% in March 2020 to 92.76% in December 2024, indicating a strong ability to generate profit after deducting the cost of goods sold.
Similarly, the operating profit margin has shown stability, ranging from 10.04% to 11.06% during the same period. This indicates the company's efficiency in managing its operating expenses to generate profit from its core business activities.
The pretax margin, representing the company's profitability before accounting for taxes, has shown a slight fluctuation but remained relatively stable between 9.42% and 10.24% over the years.
Lastly, the net profit margin has exhibited a consistent downward trend from 8.87% in March 2020 to 7.93% in December 2024. This decline suggests a decrease in the proportion of revenue that translates into net income after accounting for all expenses and taxes, which could indicate potential challenges in cost control or revenue generation efficiency.
Overall, General Dynamics Corporation's profitability ratios demonstrate strong gross and operating profit margins, stable pretax margins, and a declining trend in net profit margins, indicating the need for the company to focus on improving its cost efficiency and revenue generation strategies to maintain sustainable profitability in the long run.
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) | 8.58% | 8.13% | 8.18% | 7.86% | 7.74% | 7.82% | 8.04% | 8.14% | 8.16% | 8.16% | 8.22% | 8.12% | 8.31% | 8.31% | 8.33% | 8.28% | 8.06% | 8.14% | 8.43% | 8.36% |
| Return on assets (ROA) | 6.77% | 6.35% | 6.39% | 6.13% | 6.05% | 6.17% | 6.41% | 6.51% | 6.57% | 6.55% | 6.55% | 6.45% | 6.50% | 6.44% | 6.41% | 6.34% | 6.17% | 6.34% | 6.50% | 6.41% |
| Return on total capital | 16.36% | 15.42% | 15.49% | 14.40% | 14.13% | 14.33% | 14.71% | 14.97% | 15.14% | 15.51% | 15.31% | 14.50% | 14.80% | 15.70% | 15.90% | 16.33% | 16.11% | 16.28% | 17.09% | 16.91% |
| Return on equity (ROE) | 17.14% | 15.84% | 16.09% | 15.81% | 15.56% | 16.55% | 17.29% | 17.76% | 18.26% | 18.98% | 19.03% | 18.20% | 18.46% | 21.04% | 21.42% | 20.66% | 20.22% | 21.04% | 22.82% | 25.31% |
General Dynamics Corporation's profitability ratios exhibit relatively stable performance over the reporting periods. The Operating Return on Assets (Operating ROA) ranged from 7.74% to 8.58% during the timeframe, indicating efficient management in generating operating profits in relation to total assets. Meanwhile, the Return on Assets (ROA) ranged between 6.05% and 6.77%, reflecting the company's ability to generate profits from its total assets.
The Return on Total Capital ranged from 14.13% to 17.09%, demonstrating the return generated on both equity and debt capital employed in the business. The Return on Equity (ROE) fluctuated between 15.56% and 25.31%, indicating the return generated on shareholder equity.
Overall, General Dynamics Corporation maintained solid profitability metrics, with consistent performance in generating returns for both assets and capital throughout the reporting periods.
See also:
General Dynamics Corporation Profitability Ratios (Quarterly Data)