Innovex International, Inc (INVX)
Profitability ratios
Return on sales
| Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit margin | 31.23% | 32.91% | 32.62% | 30.72% | 28.53% | 27.53% | 27.25% | 28.17% | 27.90% | 27.68% | 26.55% | 24.07% | 23.77% | 23.17% | 24.95% | 26.17% | 26.69% | 27.16% | 26.10% | 27.14% |
| Operating profit margin | 7.32% | 5.15% | 2.46% | -1.86% | 1.12% | -0.22% | 0.06% | -0.23% | -1.41% | -0.95% | -2.71% | -8.22% | -10.11% | -14.57% | -15.34% | -11.73% | -9.14% | -6.35% | -4.24% | -0.47% |
| Pretax margin | 17.41% | 16.53% | 13.93% | 13.07% | -3.64% | -2.05% | 3.18% | 2.22% | 7.43% | 4.91% | 1.87% | -19.18% | -25.81% | -30.33% | -38.72% | -19.59% | -17.71% | -15.05% | -17.00% | -11.18% |
| Net profit margin | 16.66% | 16.68% | 14.62% | 12.31% | -5.69% | -4.89% | 0.14% | -0.38% | 5.68% | 3.16% | 0.12% | -18.28% | -26.35% | -31.58% | -39.63% | -22.82% | -14.79% | -12.97% | -8.43% | -3.14% |
The profitability analysis of Innovex International, Inc. over the period from September 2020 to June 2025 reveals significant trends and patterns across various financial ratios, namely gross profit margin, operating profit margin, pretax margin, and net profit margin.
Beginning with the gross profit margin, the figures exhibit relatively stable performance but with slight fluctuations. Initially, the gross profit margin ranged from approximately 27.14% in September 2020 and peaked at 32.91% in March 2025. A downward trend can be observed from December 2021 through March 2022, reaching a low of 23.17%, followed by a consistent upward trajectory leading to the latest figures, indicating improved efficiency in core operations and favorable cost management strategies.
The operating profit margin experienced a predominantly negative trend during the initial period, reflecting operating challenges or substantial operating expenses. The margin started at -0.47% in September 2020 and worsened to a low of -15.34% in December 2021. Subsequently, there was a gradual recovery, with margins turning positive around September 2024. Notably, by June 2025, the operating margin improved to approximately 7.32%, illustrating enhanced operational efficiency and cost control.
Pre-tax margin patterns mirror those of operating profit margins, starting with negative values and displaying significant volatility through the period. Substantial losses characterized the early years, with a notable turnaround commencing around December 2022, when the pre-tax margin slightly crossed into positive territory at 1.87%. The trend of consistent improvement continued into mid-2025, reaching approximately 17.41%, paralleling the recovery in operating margins and suggesting better tax management, revenue growth, or reduced expenses.
Net profit margins present a similar trajectory, emphasizing the company's journey from initial losses to eventual profitability. The net margin was heavily negative from September 2020 through December 2021, with the lowest point at -39.63% in December 2021. After this nadir, a steady upward trend ensued, and by March 2022, the company returned to slight profitability at 3.16%. The full recovery of net profit margin occurred around June 2025, where it reached approximately 16.66%, denoting sustainable profit generation.
Overall, Innovex International, Inc. demonstrated considerable volatility in its profitability ratios during the initial period, largely characterized by losses. These losses gradually diminished, culminating in sustained profitability by mid-2024 and into 2025. The pattern indicates an improving operational landscape, with margins progressively moving from negative to positive, supported by better cost management, revenue growth, and operational efficiencies over time.
Return on investment
| Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 5.17% | 3.29% | 1.30% | -0.84% | 0.53% | -0.10% | 0.02% | -0.19% | -0.53% | -0.36% | -1.01% | -2.91% | -3.51% | -4.84% | -4.90% | -3.56% | -2.77% | -1.97% | -1.34% | -0.16% |
| Return on assets (ROA) | 11.77% | 10.65% | 7.73% | 5.53% | -2.68% | -2.12% | 0.06% | -0.31% | 2.12% | 1.20% | 0.05% | -6.46% | -9.15% | -10.49% | -12.67% | -6.93% | -4.48% | -4.03% | -2.67% | -1.04% |
| Return on total capital | 15.41% | 13.08% | 9.32% | 7.43% | -2.03% | -1.06% | 1.54% | 2.88% | 3.11% | 2.10% | 0.81% | -7.55% | -9.99% | -11.05% | -13.85% | -6.58% | -5.99% | -5.14% | -5.90% | -4.09% |
| Return on equity (ROE) | 14.51% | 13.01% | 9.66% | 6.93% | -3.17% | -2.53% | 0.07% | -0.48% | 2.36% | 1.33% | 0.05% | -7.25% | -10.25% | -11.55% | -14.27% | -7.74% | -5.06% | -4.51% | -2.95% | -1.17% |
The profitability ratios of Innovex International, Inc. reveal a trajectory of significant improvements and fluctuations over the analyzed period, indicating evolving profitability dynamics.
Initially, the company's Operating Return on Assets (Operating ROA) and Return on Assets (ROA) were markedly negative, reflecting unprofitable operations from September 2020 through March 2022. Specifically, Operating ROA declined from -0.16% in September 2020 to a nadir of -4.84% in March 2022, while ROA worsened from -1.04% to -10.49% in the same period. These figures denote that the core operations were not generating sufficient income relative to the assets employed, likely impacted by operational challenges or market conditions during that timeframe.
From the second quarter of 2022 onward, a gradual recovery became evident. Operating ROA improved from -3.51% in June 2022 to slightly positive territory at 0.02% by the end of 2023, with fluctuations, and subsequently reached a peak of 5.17% in June 2025. Similarly, ROA transitioned from marginally positive at times in late 2022 and early 2023 to consistently higher levels, culminating in 11.77% during June 2025. This ascent signifies enhanced asset utilization efficiency and a transition towards profitability in the core business activities.
The Return on Total Capital (ROTC) mirrors this trend, moving from deeply negative values (e.g., -13.85% in December 2021) to positive figures in late 2022 and 2023, with notable progress reaching 15.41% in June 2025. This indicates the company's increasing ability to generate earnings from all invested capital sources, including debt and equity.
Similarly, Return on Equity (ROE), a measure of shareholders' profitability, exhibited a comparable pattern. It remained significantly negative through most of the period, with the worst at -14.27% in December 2021. However, starting in late 2022 and into early 2023, ROE turned positive and showed a sustained upward trajectory, achieving 14.51% in June 2025. This suggests that shareholder investments are increasingly generating returns, reflecting improved managerial effectiveness and profitability.
Overall, Innovex International's profitability ratios depict a narrative of operational turnaround. The company's early struggles gave way to consistent improvement, culminating in positive profitability indicators by mid-2024, and further strengthening through mid-2025. This progression indicates enhanced operational efficiency, better asset and capital utilization, and increased shareholder value realization over the recent period.