Group 1 Automotive Inc (GPI)
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 | 15.85% | 15.83% | 16.08% | 16.40% | 16.77% | 17.23% | 17.58% | 17.98% | 18.28% | 18.65% | 18.80% | 18.64% | 18.06% | 17.31% | 16.84% | 16.50% | 16.30% | 15.97% | 15.43% | 15.10% |
| Operating profit margin | 4.30% | 4.69% | 4.99% | 5.30% | 5.57% | 5.82% | 6.11% | 6.35% | 6.73% | 6.90% | 6.98% | 7.06% | 6.53% | 6.17% | 5.93% | 5.09% | 4.48% | 3.94% | 2.97% | 2.91% |
| Pretax margin | 3.30% | 3.61% | 4.04% | 4.32% | 4.48% | 4.93% | 5.30% | 5.63% | 6.07% | 6.30% | 6.36% | 6.44% | 5.88% | 5.51% | 5.21% | 4.14% | 3.41% | 2.78% | 1.75% | 1.79% |
| Net profit margin | 2.49% | 2.70% | 3.04% | 3.24% | 3.37% | 3.72% | 4.03% | 4.28% | 4.63% | 4.36% | 4.39% | 4.49% | 4.03% | 4.28% | 4.08% | 3.21% | 2.64% | 2.14% | 1.32% | 1.38% |
Group 1 Automotive Inc's profitability ratios have shown a mixed trend over the analyzed periods.
- Gross Profit Margin: The gross profit margin has been relatively stable around 15% to 18%, indicating the company has been able to effectively manage its production costs.
- Operating Profit Margin: The operating profit margin shows a gradual decline from around 6% to 4%, suggesting that the company's operating expenses have been increasing faster than its revenue.
- Pretax Margin: The pretax margin also demonstrates a decreasing trend from approximately 6% to 3%, indicating a decline in the company's profitability before accounting for taxes.
- Net Profit Margin: The net profit margin shows a similar downward trajectory from about 4.5% to 2.5%, signaling a decrease in the company's profitability after all expenses have been accounted for.
Overall, Group 1 Automotive Inc's profitability ratios reflect a mixed performance, with stability in gross profit margin but declining trends in operating profit margin, pretax margin, and net profit margin. This may indicate a need for the company to focus on managing its expenses more effectively to improve overall 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) | 8.73% | 8.88% | 10.34% | 11.35% | 12.81% | 57.23% | 13.93% | 15.14% | 16.25% | 17.26% | 17.14% | 17.01% | 15.57% | 17.14% | 15.56% | 11.23% | 9.55% | 8.68% | 6.76% | 6.37% |
| Return on assets (ROA) | 5.05% | 5.11% | 6.31% | 6.94% | 7.74% | 36.60% | 9.18% | 10.21% | 11.19% | 10.90% | 10.78% | 10.81% | 9.60% | 11.88% | 10.70% | 7.08% | 5.63% | 4.71% | 3.01% | 3.03% |
| Return on total capital | 30.86% | 31.83% | 34.17% | 36.49% | 37.59% | 39.04% | 40.49% | 43.53% | 47.59% | 47.76% | 51.22% | 51.60% | 48.29% | 41.79% | 42.56% | 37.67% | 35.25% | 34.42% | 29.87% | 30.37% |
| Return on equity (ROE) | 16.67% | 17.13% | 19.49% | 21.32% | 22.49% | 24.88% | 27.06% | 30.06% | 33.59% | 30.79% | 32.83% | 33.50% | 30.25% | 29.45% | 29.61% | 22.74% | 19.76% | 17.28% | 12.01% | 14.06% |
Group 1 Automotive Inc's profitability ratios have shown fluctuating trends over the period analyzed. The Operating return on assets (Operating ROA) has generally increased from 6.37% in March 2020 to a high of 57.23% in September 2023, before slightly decreasing to 8.73% in December 2024. This indicates the company's ability to generate profits from its operational activities.
The Return on assets (ROA) also exhibited growth, starting at 3.03% in March 2020 and peaking at 36.60% in September 2023, showing a strong return on the assets employed by the company. However, it declined marginally to 5.05% by December 2024.
Return on total capital increased steadily from 30.37% in March 2020 to 51.60% in March 2022, before experiencing a slight decline to 30.86% by December 2024. This ratio indicates the company's efficiency in generating returns for both equity and debt holders.
Return on equity (ROE) exhibited a similar pattern of growth, starting at 14.06% in March 2020, peaking at 33.59% in December 2022, and then declining to 16.67% by December 2024. This ratio reflects the company's ability to generate profit from the shareholders' equity invested in the business.
Overall, while there have been fluctuations in profitability ratios, Group 1 Automotive Inc has demonstrated a generally positive trend of increasing profitability over the period examined, indicating efficient utilization of its assets and capital to generate returns for its stakeholders.