Hillenbrand Inc (HI)
Profitability ratios
Return on sales
| Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | |
|---|---|---|---|---|---|
| Gross profit margin | 33.19% | 33.55% | 32.99% | 32.67% | 32.31% |
| Operating profit margin | 9.79% | 25.68% | 33.49% | 33.52% | 10.93% |
| Pretax margin | -4.59% | 23.80% | 12.65% | 14.66% | -1.00% |
| Net profit margin | -6.63% | 20.16% | 9.02% | 11.15% | -2.39% |
The gross profit margin for Hillenbrand Inc has been relatively stable over the past five years, ranging from 32.31% in 2020 to 33.55% in 2023, with the latest figure at 33.19%. This indicates that the company has been able to maintain its efficiency in generating profit from its production or sales activities.
In terms of operating profit margin, there has been significant variability in the profitability of core operations, with figures fluctuating from a low of 9.79% in 2024 to a high of 33.52% in 2021. The latest operating profit margin of 9.79% suggests a decrease in profitability from the previous year.
The pretax margin shows a similar trend, with the latest figure at -4.59%, indicating a loss before taxes in the most recent period. This contrasts with the positive figures in the preceding years, ranging from -1.00% to 23.80%.
The net profit margin has also shown fluctuations, with the latest figure at -6.63% reflecting a negative net profitability. This is a significant drop from the previous year's net profit margin of 20.16%. Overall, the profitability ratios of Hillenbrand Inc indicate varying levels of efficiency in generating profits over the past five years, with the most recent results showing a decline in profitability.
Return on investment
| Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 5.95% | 13.08% | 20.05% | 18.72% | 6.90% |
| Return on assets (ROA) | -4.03% | 10.27% | 5.40% | 6.22% | -1.51% |
| Return on total capital | -0.75% | 20.72% | 15.50% | 16.63% | 2.03% |
| Return on equity (ROE) | -14.83% | 34.94% | 19.29% | 20.66% | -5.68% |
Hillenbrand Inc's profitability ratios show a fluctuating trend over the past five years. The company's Operating Return on Assets (Operating ROA) has decreased from 20.05% in 2022 to 5.95% in 2024, indicating a weakening operating performance in generating profits from its assets. The Return on Assets (ROA) also followed a similar pattern, dropping from 10.27% in 2023 to -4.03% in 2024, implying a negative return on total assets.
On the other hand, the Return on Total Capital fluctuated, with a sharp decline in 2024 to -0.75% from 20.72% in 2023, suggesting the company faced challenges in generating returns on the total capital employed. The Return on Equity (ROE) experienced significant fluctuations, indicating variability in the profitability earned on shareholder equity, ranging from -14.83% in 2024 to 34.94% in 2023.
Overall, the declining trend in these profitability ratios highlights the challenges Hillenbrand Inc may be facing in efficiently utilizing its assets and capital to generate profits for its shareholders. Further analysis of the company's financial performance and strategic initiatives may be necessary to address these profitability concerns.