Inter Parfums Inc (IPAR)
Profitability ratios
Return on sales
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Gross profit margin | 63.90% | 63.68% | 63.90% | 63.32% | 61.36% |
| Operating profit margin | 18.94% | 19.08% | 17.88% | 16.83% | 13.00% |
| Pretax margin | 15.80% | 16.28% | 15.10% | 14.60% | 10.69% |
| Net profit margin | 11.33% | 11.58% | 11.13% | 9.94% | 7.09% |
Inter Parfums Inc has shown a consistent improvement in its profitability ratios over the years. The gross profit margin has increased steadily from 61.36% in December 2020 to 63.90% by December 2024, indicating the company's ability to control production costs and generate more revenue from its sales.
The operating profit margin has also shown a positive trend, rising from 13.00% in December 2020 to 18.94% by December 2024. This indicates that Inter Parfums Inc has been able to efficiently manage its operating expenses and improve its profitability from core business operations.
Moreover, the pretax margin has shown a consistent increase from 10.69% in December 2020 to 15.80% by December 2024. This signals the company's ability to generate higher profits before accounting for taxes, reflecting improved operational efficiency and financial management.
Lastly, the net profit margin has demonstrated a similar upward trajectory, climbing from 7.09% in December 2020 to 11.33% by December 2024. This suggests that Inter Parfums Inc has been successful in controlling its overall expenses, including taxes and interest, to improve its bottom line profitability.
Overall, the increasing trend in Inter Parfums Inc's profitability ratios indicates a positive financial performance and effective management strategies that have contributed to the company's sustained growth and profitability over the analyzed period.
Return on investment
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 19.47% | 18.36% | 14.85% | 12.93% | 7.87% |
| Return on assets (ROA) | 11.65% | 11.15% | 9.24% | 7.63% | 4.29% |
| Return on total capital | 31.93% | 27.28% | 21.83% | 18.62% | 10.91% |
| Return on equity (ROE) | 22.07% | 21.83% | 19.61% | 15.28% | 7.13% |
Inter Parfums Inc's profitability ratios have shown a positive trend over the years, indicating improving financial performance and efficiency in generating profits relative to their assets and capital.
- Operating return on assets (Operating ROA) has increased steadily from 7.87% in 2020 to 19.47% in 2024, reflecting the company's ability to generate operating income from its assets more effectively over time.
- Return on assets (ROA) has also shown consistent improvement, rising from 4.29% in 2020 to 11.65% in 2024. This indicates that the company's overall profitability in relation to its total assets has been on the rise.
- Return on total capital has demonstrated substantial growth, increasing from 10.91% in 2020 to 31.93% in 2024. This metric highlights the efficiency of Inter Parfums in generating returns on investments made by both equity and debt holders.
- Return on equity (ROE) has also exhibited a positive uptrend, climbing from 7.13% in 2020 to 22.07% in 2024. This signifies the company's ability to generate profits for its shareholders from the equity invested in the business.
Overall, the consistent improvement in these profitability ratios suggests that Inter Parfums Inc has been effectively utilizing its assets and capital to drive earnings growth and create value for its investors.