IAC Inc. (IAC)
Profitability ratios
Return on sales
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Gross profit margin | 72.16% | 69.23% | 63.27% | 64.67% | 73.73% |
| Operating profit margin | -0.11% | -5.97% | -6.91% | -0.48% | -9.86% |
| Pretax margin | -18.19% | 8.41% | -29.15% | 19.93% | 8.83% |
| Net profit margin | -14.18% | 6.09% | -22.83% | 16.15% | 9.76% |
IAC Inc.'s profitability ratios indicate fluctuating trends over the years.
1. Gross Profit Margin: The gross profit margin declined from 73.73% in 2020 to 63.27% in 2022, but showed improvement in 2023 and 2024, reaching 69.23% and 72.16% respectively. This suggests that the company was able to increase the efficiency of its production or sales processes.
2. Operating Profit Margin: The operating profit margin was negative in 2020 and 2022, but improved in 2021 and 2024, indicating volatility in the company's ability to control operating expenses and generate profits from core operations.
3. Pretax Margin: The pretax margin showed significant variability, ranging from a positive 19.93% in 2021 to a negative 29.15% in 2022. This suggests that the company may have experienced fluctuations in its pre-tax profitability and potentially faced challenges in managing expenses or generating revenue.
4. Net Profit Margin: The net profit margin also exhibited fluctuations, with a positive 16.15% in 2021, but turning negative in 2022, 2023, and 2024. This indicates that the company's bottom line profitability was impacted by various factors such as operational costs, taxes, and non-operating items.
Overall, the profitability ratios of IAC Inc. demonstrate a mixed performance over the years, reflecting both strengths and challenges in managing costs, generating revenue, and sustaining profitability.
Return on investment
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | -0.04% | -2.51% | -3.48% | -0.14% | -2.97% |
| Return on assets (ROA) | -5.66% | 2.56% | -11.50% | 4.74% | 2.94% |
| Return on total capital | 0.00% | 8.63% | -23.87% | 10.64% | 3.95% |
| Return on equity (ROE) | -9.68% | 4.38% | -20.15% | 8.32% | 4.09% |
Based on the provided data, it is evident that IAC Inc. has experienced fluctuations in its profitability ratios over the years.
1. Operating return on assets (Operating ROA) has shown a general trend of negativity, with the highest value being -0.14% in December 31, 2021, indicating that the company is not efficiently generating profits from its operations relative to its assets.
2. Return on assets (ROA) has also been inconsistent, with positive values seen in 2020 and 2021, but turning negative in 2022, 2023, and 2024. This suggests that the company's overall profitability in relation to its total assets has been mixed.
3. Return on total capital has displayed significant volatility, ranging from 10.64% in December 31, 2021, to -23.87% in December 31, 2022. The sharp decline in 2022 indicates that the company may be facing challenges in generating returns on its total invested capital.
4. Return on equity (ROE) has followed a similar pattern, with positive values in 2020 and 2021, but dipping into negative territory in 2022, 2023, and 2024. This signifies that the company's profitability concerning shareholder equity has been inconsistent.
Overall, the profitability ratios of IAC Inc. reflect a lack of stability and a need for the company to focus on improving its operational efficiency and overall profitability to enhance shareholder value and sustainable growth.