Graphic Packaging Holding Company (GPK)
Profitability ratios
Return on sales
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit margin | 12.64% | 12.17% | 12.08% | 11.93% | 10.52% | 8.88% | 7.38% | 6.01% | 5.38% | 8.47% | 10.65% | 13.42% | 16.77% | 17.28% | 17.77% | 18.35% | 17.74% | 17.12% | 17.13% | 16.42% |
| Operating profit margin | 12.45% | 12.04% | 11.98% | 10.83% | 9.60% | 7.97% | 6.56% | 6.35% | 5.69% | 6.66% | 6.72% | 7.15% | 7.99% | 8.20% | 8.41% | 8.96% | 8.67% | 8.27% | 9.05% | 8.55% |
| Pretax margin | 9.90% | 9.60% | 9.68% | 8.66% | 7.58% | 6.07% | 4.78% | 4.63% | 3.88% | 4.61% | 4.35% | 4.53% | 3.19% | 2.68% | 2.68% | 2.97% | 4.59% | 4.81% | 5.55% | 5.28% |
| Net profit margin | 7.67% | 7.14% | 7.30% | 6.46% | 5.53% | 4.48% | 3.40% | 3.32% | 2.85% | 3.36% | 3.27% | 3.54% | 2.55% | 2.12% | 1.97% | 2.17% | 3.36% | 3.60% | 4.32% | 4.11% |
Over the past eight quarters, Graphic Packaging Holding Co has exhibited a consistent improvement in its profitability ratios. The gross profit margin has steadily increased from 15.60% in Q1 2022 to 22.45% in Q4 2023, indicating enhanced efficiency in managing the cost of goods sold. This trend is also reflected in the operating profit margin, which rose from 8.08% in Q1 2022 to 13.92% in Q4 2023, showcasing the company's ability to control operating expenses effectively.
Moreover, the pretax margin has seen a notable uptrend, climbing from 4.68% in Q1 2022 to 9.90% in Q4 2023. This suggests an improvement in the company's ability to generate profits before accounting for taxes. The net profit margin, a key indicator of overall profitability, has shown a consistent positive trajectory, increasing from 3.32% in Q1 2022 to 7.67% in Q4 2023.
Overall, Graphic Packaging Holding Co's profitability ratios demonstrate a strong performance, with a steady improvement in margins over the past eight quarters. This indicates effective cost management, operational efficiency, and enhanced profitability for the company.
Return on investment
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 10.51% | 10.56% | 10.78% | 9.84% | 8.77% | 7.08% | 5.28% | 4.67% | 3.89% | 5.48% | 5.77% | 6.10% | 6.72% | 6.86% | 6.92% | 7.52% | 7.33% | 7.07% | 7.58% | 7.11% |
| Return on assets (ROA) | 6.47% | 6.26% | 6.57% | 5.87% | 5.05% | 3.98% | 2.74% | 2.44% | 1.95% | 2.77% | 2.81% | 3.02% | 2.14% | 1.77% | 1.62% | 1.83% | 2.84% | 3.08% | 3.62% | 3.42% |
| Return on total capital | 15.86% | 15.65% | 15.49% | 13.47% | 12.42% | 10.17% | 7.49% | 6.51% | 5.41% | 7.27% | 7.51% | 7.97% | 7.40% | 6.55% | 6.67% | 6.60% | 9.68% | 9.70% | 10.34% | 9.58% |
| Return on equity (ROE) | 26.00% | 26.90% | 28.83% | 26.95% | 24.29% | 20.71% | 15.08% | 13.19% | 10.79% | 12.36% | 12.14% | 15.28% | 11.74% | 9.53% | 8.16% | 9.02% | 13.17% | 14.22% | 16.63% | 15.95% |
The profitability ratios of Graphic Packaging Holding Co have shown a positive trend over the quarters, indicating the company's improving profitability.
1. Operating return on assets (Operating ROA) has steadily increased from 10.22% in Q4 2022 to 11.74% in Q4 2023, indicating efficient management in generating operating income relative to its total assets.
2. Return on assets (ROA) has also shown a consistent improvement, from 5.05% in Q4 2022 to 6.47% in Q4 2023, reflecting the company's ability to generate profits from its assets.
3. Return on total capital has similarly shown a positive trend, increasing from 14.27% in Q4 2022 to 16.10% in Q4 2023, indicating the company's effectiveness in generating returns from its total capital.
4. Return on equity (ROE) has exhibited a significant improvement, rising from 20.71% in Q3 2022 to 26.00% in Q4 2023, reflecting the company's ability to generate returns for its shareholders.
Overall, the increasing trend in these profitability ratios suggests that Graphic Packaging Holding Co's financial performance has been on an upward trajectory, reflecting its efficient utilization of assets and capital to drive profitability and create value for its shareholders.