Gates Industrial Corporation plc (GTES)
Profitability ratios
Return on sales
| 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 | Dec 31, 2019 | Sep 30, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit margin | 39.28% | 38.58% | 38.06% | 36.98% | 36.16% | 35.71% | 35.19% | 35.29% | 36.17% | 37.25% | 38.54% | 39.23% | 38.99% | 37.93% | 37.05% | 36.49% | 36.00% | 36.46% | 37.01% | 37.77% |
| Operating profit margin | 14.32% | 13.92% | 12.96% | 12.26% | 11.69% | 11.32% | 10.80% | 10.38% | 11.14% | 12.16% | 13.93% | 14.29% | 12.93% | 9.49% | 7.56% | 7.11% | 7.48% | 10.19% | 11.23% | 12.64% |
| Pretax margin | 8.68% | 8.32% | 7.32% | 7.62% | 7.19% | 6.99% | 6.63% | 5.49% | 6.18% | 7.40% | 9.08% | 9.23% | 7.78% | 4.28% | 2.15% | 1.65% | 2.13% | 4.67% | 6.29% | 7.92% |
| Net profit margin | 7.24% | 6.97% | 6.52% | 7.08% | 6.36% | 6.08% | 6.21% | 5.71% | 6.24% | 7.48% | 8.55% | 7.49% | 6.98% | 3.75% | 2.84% | 2.73% | 2.47% | 3.74% | 22.35% | 23.67% |
The profitability ratios of Gates Industrial Corporation plc have shown a general fluctuation over the years. The gross profit margin has varied within a range of 35.19% to 39.28%. This indicates the company's ability to generate profits from its core operations, with an increasing trend visible in recent periods.
The operating profit margin, reflecting the company's efficiency in managing its operating expenses, has shown some variability, ranging from 7.11% to 14.32%. There seems to be a gradual improvement in operating efficiency in the most recent periods.
The pretax margin, representing the company's profitability before accounting for taxes, has shown fluctuations between 1.65% and 9.08%. This ratio indicates the overall profitability of the company after considering all expenses, including taxes.
The net profit margin, which measures the company's overall profitability after all expenses and taxes have been deducted, has also demonstrated some variability, ranging from 2.47% to 23.67%. The substantial increase in net profit margin in the last year suggests a significant improvement in profitability, possibly attributed to cost-cutting measures or increased revenue generation efficiency.
In conclusion, the analysis of Gates Industrial Corporation plc's profitability ratios indicates fluctuations in margins over time but a general trend towards improvement in recent periods. Further investigation into the factors driving these trends would provide a more in-depth understanding of the company's financial performance.
Return on investment
| 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 | Dec 31, 2019 | Sep 30, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 7.09% | 6.98% | 6.38% | 6.21% | 5.76% | 5.53% | 5.34% | 5.13% | 5.38% | 5.73% | 6.43% | 6.58% | 5.69% | 3.81% | 2.84% | 2.64% | 2.88% | 4.25% | 4.68% | 5.47% |
| Return on assets (ROA) | 3.59% | 3.50% | 3.21% | 3.59% | 3.13% | 2.97% | 3.07% | 2.82% | 3.01% | 3.52% | 3.94% | 3.45% | 3.07% | 1.51% | 1.07% | 1.02% | 0.95% | 1.56% | 9.31% | 10.24% |
| Return on total capital | 8.59% | 8.27% | 7.53% | 7.98% | 7.46% | 7.03% | 6.78% | 5.97% | 6.31% | 7.00% | 7.98% | 8.36% | 7.36% | 5.09% | 3.92% | 3.57% | 3.89% | 5.50% | 6.33% | 7.30% |
| Return on equity (ROE) | 7.94% | 7.75% | 7.23% | 8.25% | 7.43% | 6.73% | 7.10% | 6.76% | 7.33% | 8.70% | 9.58% | 8.57% | 7.72% | 3.90% | 2.83% | 2.87% | 2.73% | 4.51% | 26.03% | 28.96% |
The profitability ratios of Gates Industrial Corporation plc provide insights into the company's ability to generate returns for its shareholders and efficiently utilize its assets.
1. Operating Return on Assets (Operating ROA): This ratio reflects the company's operational efficiency in generating profits from its total assets. Gates Industrial Corporation plc's Operating ROA has shown a generally increasing trend over the past quarters, indicating improving operational performance.
2. Return on Assets (ROA): ROA measures the company's overall ability to generate profits from its assets, including both operating and non-operating activities. Gates Industrial Corporation plc's ROA has fluctuated over the periods but has generally remained positive, suggesting a consistent ability to generate earnings from its asset base.
3. Return on Total Capital: This ratio evaluates the company's efficiency in generating profits from all forms of capital, including debt and equity. Gates Industrial Corporation plc's Return on Total Capital has shown variability over the periods but has generally been at satisfactory levels, indicating effective utilization of both debt and equity in generating returns.
4. Return on Equity (ROE): ROE measures the company's profitability from the shareholders' perspective, indicating how efficiently it utilizes shareholders' equity to generate profits. Gates Industrial Corporation plc's ROE has fluctuated, but overall, it has demonstrated a positive trend with strong returns to shareholders.
In conclusion, Gates Industrial Corporation plc's profitability ratios reflect a mix of operational efficiency, asset utilization, and profitability from various forms of capital. The company has shown a generally positive performance in generating returns for both shareholders and investors over the analyzed periods.