Halozyme Therapeutics Inc (HALO)
Profitability ratios
Return on sales
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Gross profit margin | 48.04% | 47.35% | 69.41% | 4.72% | 10.46% |
| Operating profit margin | 41.68% | 41.72% | 63.31% | 53.91% | -34.50% |
| Pretax margin | 43.01% | 38.81% | 57.02% | 48.32% | -36.86% |
| Net profit margin | 34.77% | 31.52% | 92.40% | 48.24% | -36.86% |
Halozyme Therapeutics Inc.'s profitability ratios show variations over the five-year period from 2019 to 2023.
1. Gross Profit Margin:
- The gross profit margin declined from 76.76% in 2019 to 76.80% in 2023. This indicates a relatively stable level of efficiency in generating profits from sales after deducting the cost of goods sold.
2. Operating Profit Margin:
- The operating profit margin fluctuated between 40.53% in 2022 to 62.24% in 2021 before decreasing to 40.71% in 2023. This indicates the company's ability to control its operating expenses relative to its revenue, with a slight decrease in recent years.
3. Pre-tax Margin:
- The pre-tax margin varied from 37.71% in 2022 to 56.06% in 2021 before settling at 42.01% in 2023. This ratio reflects the company's ability to generate earnings before accounting for taxes, with fluctuations due to changes in operating expenses and non-operating items.
4. Net Profit Margin:
- The net profit margin ranged from -36.86% (net loss) in 2019 to 90.84% in 2021, then declined to 33.96% in 2023. The negative net profit margin in 2019 may indicate significant non-operating expenses or one-off charges, while the sharp increase in 2021 could be due to exceptional income or cost reductions.
In summary, Halozyme Therapeutics Inc.'s profitability has shown some variability, with fluctuations in operating efficiency, cost management, and income generation over the past five years. Investors may want to further investigate the reasons behind these fluctuations to assess the company's overall financial health and performance.
Return on investment
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 19.48% | 14.53% | 24.98% | 24.87% | -11.95% |
| Return on assets (ROA) | 16.25% | 10.98% | 36.46% | 22.26% | -12.77% |
| Return on total capital | 23.19% | 15.99% | 26.02% | 99.09% | -12.77% |
| Return on equity (ROE) | 336.00% | 119.04% | 204.47% | 85.46% | -78.72% |
Halozyme Therapeutics Inc. has shown a generally positive trend in its profitability ratios over the past five years. The Operating Return on Assets (Operating ROA) has fluctuated but has been consistently positive, ranging from 24.98% in 2021 to 14.53% in 2022. The Return on Assets (ROA) has also demonstrated positive performance, with a peak of 36.46% in 2021 and a low of 10.98% in 2022.
The Return on Total Capital has been relatively stable, ranging from 25.70% in 2021 to 21.32% in 2023. Notably, the Return on Equity (ROE) has shown significant fluctuations, reaching a high of 336.00% in 2023 and a low of -78.72% in 2019.
Overall, the profitability ratios of Halozyme Therapeutics Inc. indicate a strong performance in generating returns from its assets, capital, and equity, although there have been fluctuations over the years. Further analysis would be needed to understand the factors driving these changes and to assess the company's sustainable profitability prospects.