Intuitive Surgical Inc (ISRG)
Profitability ratios
Return on sales
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Gross profit margin | 62.87% | 62.10% | 64.08% | 66.30% | 62.94% |
| Operating profit margin | 26.21% | 23.20% | 24.08% | 30.50% | 23.09% |
| Pretax margin | 29.67% | 25.47% | 24.20% | 31.27% | 26.41% |
| Net profit margin | 25.92% | 23.61% | 20.19% | 28.55% | 23.33% |
Intuitive Surgical Inc has shown consistency in its gross profit margin over the past five years, ranging from 62.10% to 66.30%, with the highest margin recorded in 2021. This indicates the company's ability to efficiently manage its production costs and generate profits from its core operations.
The operating profit margin has also displayed variability, with a notable increase in 2021 to 30.50% followed by fluctuations in subsequent years. Despite the fluctuations, the company has maintained a healthy level of operating profitability, reflecting its management's effectiveness in controlling operating expenses.
The pretax margin exhibited a similar trend to the operating profit margin, peaking in 2021 at 31.27% before declining in the following years. The company's ability to generate profits before taxes improved significantly in 2021, showcasing strong operational performance.
The net profit margin, representing the bottom-line profitability, has fluctuated over the period but has generally been healthy, ranging from 20.19% to 28.55%. This metric indicates Intuitive Surgical's ability to translate its revenues into net income, with particularly notable performance in 2021.
Overall, Intuitive Surgical Inc has demonstrated solid profitability ratios, with healthy margins across gross, operating, pretax, and net levels. The company's ability to efficiently manage costs and generate profits underscores its financial strength and operational efficiency.
Return on investment
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 12.53% | 11.44% | 12.16% | 13.43% | 9.40% |
| Return on assets (ROA) | 12.39% | 11.64% | 10.19% | 12.58% | 9.50% |
| Return on total capital | 14.29% | 13.28% | 14.28% | 15.30% | 10.79% |
| Return on equity (ROE) | 14.13% | 13.51% | 11.98% | 14.32% | 10.90% |
Intuitive Surgical Inc has demonstrated consistent profitability over the five-year period analyzed. Their Operating return on assets (Operating ROA) increased from 9.40% in 2020 to 12.53% in 2024, indicating the company's improved efficiency in generating profits from its assets specifically related to operations.
The Return on assets (ROA) also exhibited a positive trend, starting at 9.50% in 2020 and reaching 12.39% in 2024. This metric reflects the overall profitability of the company in relation to its total assets, showcasing an increase in effectiveness over time.
Moreover, the Return on total capital saw steady growth from 10.79% in 2020 to 14.29% in 2024, emphasizing the company's ability to generate returns from the total capital invested in the business.
Lastly, the Return on equity (ROE) experienced a similar upward trajectory, rising from 10.90% in 2020 to 14.13% in 2024. ROE measures the return on shareholder equity, indicating the profitability of the company from the perspective of its equity investors.
Overall, the profitability ratios of Intuitive Surgical Inc depict a consistent and positive performance, reflecting the company's efficient utilization of assets and capital to generate profits for its shareholders.