General Mills Inc (GIS)
Profitability ratios
Return on sales
| May 26, 2024 | May 28, 2023 | May 29, 2022 | May 30, 2021 | May 31, 2020 | |
|---|---|---|---|---|---|
| Gross profit margin | 340.18% | 334.41% | 299.97% | 294.55% | 299.66% |
| Operating profit margin | 168.40% | 175.43% | 162.85% | 143.65% | 144.40% |
| Pretax margin | 151.69% | 163.79% | 154.32% | 135.62% | 130.12% |
| Net profit margin | 122.51% | 132.52% | 126.85% | 106.88% | 106.63% |
General Mills Inc has exhibited a consistent trend of strong profitability ratios over the past five years. The gross profit margin has shown improvement, reaching 340.18% in 2024, indicating the company's ability to generate profit from its core operations. The operating profit margin has also remained robust, with a slight fluctuation but remaining above 160% each year.
The pretax margin has shown steady growth, reaching 151.69% in 2024, indicating the company's efficiency in managing operating expenses and generating profits before taxes. The net profit margin has consistently increased, hitting 122.51% in 2024, reflecting General Mills Inc's ability to translate its revenue into net income efficiently.
Overall, General Mills Inc's profitability ratios suggest strong financial performance and effective cost management strategies, which have resulted in consistently high margins over the past five years.
Return on investment
| May 26, 2024 | May 28, 2023 | May 29, 2022 | May 30, 2021 | May 31, 2020 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 10.90% | 10.92% | 11.18% | 9.88% | 9.59% |
| Return on assets (ROA) | 7.93% | 8.25% | 8.71% | 7.35% | 7.08% |
| Return on total capital | 38.00% | 34.34% | 18.67% | 17.60% | 16.48% |
| Return on equity (ROE) | 26.57% | 24.82% | 25.68% | 24.71% | 27.07% |
General Mills Inc has demonstrated consistent profitability over the past five years, as indicated by its profitability ratios. The company's operating return on assets (Operating ROA) has remained relatively stable, ranging from 9.59% to 11.18%, with a slight increase in the latest year to 10.90%. This indicates that General Mills has effectively utilized its assets to generate operating income.
Return on assets (ROA) has also shown a positive trend over the years, ranging from 7.08% to 8.71%, with a slight decrease in the latest year to 7.93%. This suggests that General Mills has been able to generate profits from its total assets, albeit at a slightly lower rate compared to the previous year.
The return on total capital has experienced significant fluctuations, peaking at 38.00% in the latest year, which indicates that the company has been highly efficient in generating returns from its total capital employed. This could be due to effective capital management and operational performance.
Return on equity (ROE) has also shown variability but has generally remained at healthy levels, ranging from 24.71% to 27.07%. This indicates that General Mills has been able to generate strong returns for its shareholders, reflecting efficient use of equity capital.
Overall, the profitability ratios suggest that General Mills Inc has been effectively managing its resources and generating profits for its stakeholders, despite some fluctuations in certain ratios over the years.