Krystal Biotech Inc (KRYS)
Profitability ratios
Return on sales
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Gross profit margin | -76.46% | -15,623.90% | — | — | — |
| Operating profit margin | -196.77% | -29,155.82% | — | — | — |
| Pretax margin | 23.13% | -28,107.43% | — | — | — |
| Net profit margin | 19.60% | -28,107.43% | — | — | — |
Krystal Biotech Inc's profitability ratios have shown significant fluctuations over the past five years. In 2023, the gross profit margin was recorded at -76.46%, indicating that the company's cost of goods sold exceeded its revenue, resulting in a negative gross profit. The operating profit margin and net profit margin were also negative at -196.77% and 19.60%, respectively, showing that the company's operating expenses and other costs outweighed its revenues, leading to an overall loss at the operating and net profit levels.
In 2022, the profitability ratios were even more unfavorable, with gross profit margin and operating profit margin at -15,623.90% and -29,155.82%, respectively, indicating a severe imbalance between revenue and expenses resulting in substantial losses. The pretax margin in 2023 stood at 23.13%, marking a positive turn compared to the previous years. However, the inconsistencies in profitability ratios over the years suggest a lack of stability in the company's financial performance and the need for a comprehensive review of its cost structure and revenue generation strategies.
Moreover, the absence of data for 2021, 2020, and 2019 limits a more in-depth analysis of the trend in profitability ratios, but the stark variations seen in the available data signal potential underlying issues in Krystal Biotech Inc's financial health that require further investigation.
Return on investment
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | -13.41% | -26.00% | -10.90% | -10.62% | -10.56% |
| Return on assets (ROA) | 1.34% | -25.06% | -11.11% | -10.35% | -9.13% |
| Return on total capital | 1.66% | -26.80% | -11.47% | -11.01% | -10.88% |
| Return on equity (ROE) | 1.40% | -26.80% | -11.72% | -11.01% | -9.41% |
Krystal Biotech Inc's profitability ratios have shown varying trends over the past five years.
The Operating return on assets (Operating ROA) measures operating income generated per dollar of assets, excluding non-operating items. The company has shown inconsistent performance in this metric, with a significant decline in 2022 and 2023. The negative values indicate that the company's operating income has not been sufficient to cover its asset base in those years.
The Return on assets (ROA) ratio reflects the company's overall efficiency in generating profits from its assets. Although there was improvement in 2023 compared to previous years, the ROA remains relatively low, indicating that Krystal Biotech Inc's ability to generate profits from its total assets has been historically weak.
Return on total capital measures the return earned on all invested capital, including both debt and equity. Despite an improvement in 2023, the ratio has remained negative over the past few years, indicating that the company has not been able to generate sufficient returns on its total capital employed.
Return on equity (ROE) assesses the return earned by the company for the shareholders' equity invested. The negative values in 2022 indicate a loss for shareholders in that year, although the ratio has turned positive in 2023. The fluctuating ROE suggests volatility in shareholder returns over the years.
Overall, the profitability ratios of Krystal Biotech Inc show a mixed performance, with improvements in some metrics in 2023 compared to previous years. However, the company continues to face challenges in generating returns for its assets, total capital, and equity. Further analysis of the company's financial performance and strategy may be necessary to understand the underlying factors driving these profitability trends.