GE HealthCare Technologies Inc. (GEHC)
Profitability ratios
Return on sales
Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | |
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Gross profit margin | 42.94% | 42.65% | 42.26% | 41.98% | 41.80% | 39.92% |
Operating profit margin | 13.74% | 13.26% | 12.97% | 12.79% | 12.85% | 13.08% |
Pretax margin | 13.21% | 12.15% | 12.11% | 12.03% | 12.19% | 12.55% |
Net profit margin | 10.43% | 8.84% | 8.35% | 8.31% | 8.27% | 8.91% |
GE HealthCare Technologies Inc. has shown consistent improvement in its profitability ratios over the periods analyzed.
- The gross profit margin has been steadily increasing from 39.92% in September 2023 to 42.94% in December 2024. This indicates that the company has been effectively managing its production costs and generating more revenue from each sale.
- The operating profit margin has also shown a positive trend, with a slight fluctuation between 12.79% and 13.74% over the same period. This suggests that the company has been efficient in controlling its operating expenses while increasing its operating income.
- The pretax margin has shown a generally increasing trend, starting from 12.55% in September 2023 and reaching 13.21% in December 2024. This indicates that the company has been successful in managing its pre-tax income relative to its total revenue.
- The net profit margin has shown a significant improvement, increasing from 8.91% in September 2023 to 10.43% in December 2024. This indicates that the company has been effective in managing its overall expenses and generating higher profits relative to its total revenue.
Overall, GE HealthCare Technologies Inc. has demonstrated sound profitability performance, with improvements in each profitability ratio over the periods analyzed, reflecting efficient cost management and revenue generation strategies.
Return on investment
Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | |
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Operating return on assets (Operating ROA) | 7.93% | 7.42% | 7.70% | 7.50% | 7.50% | 7.79% |
Return on assets (ROA) | 6.02% | 4.95% | 4.96% | 4.87% | 4.83% | 5.31% |
Return on total capital | 16.51% | 14.26% | 15.30% | 15.43% | 15.64% | 14.51% |
Return on equity (ROE) | 23.60% | 20.14% | 20.25% | 21.19% | 21.98% | 24.11% |
GE HealthCare Technologies Inc.'s profitability ratios show a stable performance over the analyzed periods. The Operating Return on Assets (Operating ROA) fluctuated modestly between 7.42% and 7.93%, indicating that the company generated approximately 7.5% to 7.8% in operating profits for every dollar of assets.
The Return on Assets (ROA) also varied slightly but remained relatively consistent, ranging from 4.83% to 6.02%. This ratio reflects the company's ability to generate profits from its total assets, showing that GE HealthCare Technologies Inc. earned between 4.8% and 6% on every dollar of assets.
The Return on Total Capital remained relatively steady, ranging from 14.26% to 16.51%, signaling the efficiency with which the company generates returns for both equity and debt holders.
The Return on Equity (ROE) exhibited a similar trend, hovering between 20.14% and 24.11%, reflecting the company's profitability in relation to shareholders' equity.
Overall, GE HealthCare Technologies Inc. shows consistent profitability across different metrics, with a sustainable performance in generating returns on assets, capital, and equity over the analyzed periods.