Jack In The Box Inc (JACK)
Profitability ratios
Return on sales
| Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | |
|---|---|---|---|---|---|
| Gross profit margin | 53.25% | 48.41% | 50.45% | 66.84% | 66.06% |
| Operating profit margin | 5.25% | 16.47% | 16.91% | 25.35% | 22.57% |
| Pretax margin | -0.28% | 11.19% | 11.03% | 19.38% | 11.99% |
| Net profit margin | -2.34% | 7.73% | 7.89% | 14.49% | 8.79% |
The profitability ratios of Jack In The Box Inc show a mixed performance over the past five years. The gross profit margin has fluctuated, with a significant decrease in 2023 followed by an improvement in the most recent year. The company's ability to generate profits from its core operations, as seen through the operating profit margin, also experienced a decline in 2024 compared to the prior years.
The pretax margin shows a negative figure in 2024, which highlights that the company's earnings before taxes are insufficient compared to its total revenue. This is a concerning trend that may indicate challenges in managing operating expenses or declining sales. The net profit margin, a key indicator of overall profitability, has decreased in 2024, suggesting that the company's bottom line has been negatively impacted.
Overall, Jack In The Box Inc's profitability ratios show inconsistent performance, with decreasing margins in key areas. Investors and stakeholders may want to further investigate the reasons behind these declines and assess the company's strategies for improving profitability in the future.
Return on investment
| Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 3.02% | 9.29% | 8.50% | 16.57% | 12.09% |
| Return on assets (ROA) | -1.34% | 4.36% | 3.96% | 9.47% | 4.71% |
| Return on total capital | — | — | — | — | — |
| Return on equity (ROE) | — | — | — | — | — |
Based on the provided data, Jack In The Box Inc's profitability ratios have fluctuated over the past five years. The operating return on assets (Operating ROA) has shown a decreasing trend from 12.09% in 2020 to 3.02% in 2024, indicating a decline in the company's ability to generate operating profits from its assets.
Similarly, the return on assets (ROA) also displays a declining trend from 4.71% in 2020 to -1.34% in 2024, suggesting that the company's overall profitability in relation to its total assets has deteriorated over time.
Unfortunately, the data on return on total capital and return on equity (ROE) for Jack In The Box Inc is missing for all years, making it difficult to provide a comprehensive analysis of the company's overall profitability and shareholders' return on investment.
In conclusion, the declining trend in operating and overall return on assets raises concerns about Jack In The Box Inc's profitability performance, indicating a need for further analysis and potential strategic adjustments to improve profitability ratios in the future.