Lithia Motors Inc (LAD)
Profitability ratios
Return on sales
| 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 | Jun 30, 2020 | Mar 31, 2020 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit margin | 15.38% | 15.76% | 16.06% | 16.52% | 16.95% | 17.16% | 17.53% | 17.94% | 18.34% | 18.91% | 19.23% | 19.21% | 18.74% | 17.97% | 17.52% | 16.98% | 17.02% | 16.80% | 16.01% | 15.63% |
| Operating profit margin | 4.36% | 4.43% | 4.69% | 5.11% | 5.49% | 5.70% | 6.06% | 6.40% | 6.91% | 7.44% | 7.61% | 7.69% | 7.31% | 6.84% | 6.47% | 5.74% | 5.30% | 4.73% | 4.07% | 3.82% |
| Pretax margin | 2.93% | 3.04% | 3.38% | 3.88% | 4.38% | 4.67% | 5.15% | 5.52% | 6.12% | 6.62% | 6.77% | 6.93% | 6.52% | 6.42% | 6.20% | 5.45% | 4.96% | 3.94% | 3.18% | 2.88% |
| Net profit margin | 2.22% | 2.31% | 2.54% | 2.88% | 3.24% | 3.43% | 3.78% | 4.01% | 4.45% | 4.72% | 4.84% | 4.97% | 4.66% | 4.69% | 4.53% | 3.97% | 3.60% | 2.84% | 2.29% | 2.08% |
Based on the provided data for Lithia Motors Inc, the profitability ratios have shown fluctuations over the periods under review.
1. Gross Profit Margin: The gross profit margin has displayed a generally increasing trend from March 2020 to June 2022, reaching a peak of 19.23% by June 2022. However, from September 2022 to December 2024, the gross profit margin experienced a gradual decline, ending at 15.38% by December 2024.
2. Operating Profit Margin: The operating profit margin also depicted a similar pattern, steadily rising from March 2020 to December 2021, with a peak of 7.31% by December 2021. Subsequently, it declined from March 2022 to December 2024, reaching 4.36% by December 2024.
3. Pretax Margin: The pretax margin experienced an increase from March 2020 to June 2021, where it peaked at 6.52%. However, there was a gradual decline in the pretax margin from September 2021 to December 2024, ending at 2.93% by December 2024.
4. Net Profit Margin: The net profit margin followed a similar trajectory to the pretax margin, displaying growth from March 2020 to December 2021, reaching a peak of 4.97% by March 2022. Subsequently, there was a decline in the net profit margin from March 2022 to December 2024, with a value of 2.22% by December 2024.
Overall, the profitability ratios of Lithia Motors Inc have shown varied trends over the periods analyzed, indicating fluctuations in the company's profitability and operational efficiency.
Return on investment
| 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 | Jun 30, 2020 | Mar 31, 2020 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 6.81% | 6.58% | 6.78% | 7.46% | 8.62% | 9.42% | 10.01% | 11.04% | 12.93% | 14.49% | 15.40% | 15.98% | 14.91% | 13.67% | 11.44% | 10.16% | 8.77% | 9.15% | 8.88% | 7.97% |
| Return on assets (ROA) | 3.47% | 3.44% | 3.67% | 4.21% | 5.10% | 5.67% | 6.24% | 6.93% | 8.33% | 9.20% | 9.78% | 10.31% | 9.51% | 9.37% | 8.00% | 7.03% | 5.95% | 5.48% | 5.00% | 4.34% |
| Return on total capital | 23.67% | 23.19% | 24.70% | 26.06% | 27.24% | 28.69% | 30.75% | 33.35% | 37.28% | 26.46% | 27.94% | 25.92% | 23.18% | 20.58% | 16.78% | 17.59% | 14.98% | 19.49% | 17.86% | 18.19% |
| Return on equity (ROE) | 12.05% | 12.10% | 13.38% | 14.72% | 16.11% | 17.26% | 19.17% | 20.91% | 24.02% | 25.97% | 27.12% | 25.41% | 22.91% | 21.06% | 19.10% | 20.67% | 17.67% | 20.70% | 18.09% | 17.94% |
Lithia Motors Inc's profitability ratios have shown varying trends over the past few years.
1. Operating Return on Assets (Operating ROA) has generally been increasing from around 8% in March 2020 to approximately 16% in June 2022, indicating an improvement in the company's ability to generate operating profits from its assets. However, there has been a slight decline in the most recent quarters from June 2022 to December 2024.
2. Return on Assets (ROA) has followed a similar trend to Operating ROA, starting at 4% in March 2020 and increasing to around 10% in March 2022 before declining to about 6.5% in December 2024.
3. Return on Total Capital has displayed significant fluctuations, with a notable increase from around 15% in December 2020 to over 37% by December 2022. However, there has been a decreasing trend since then, with the ratio standing at around 23% in December 2024.
4. Return on Equity (ROE) has also experienced fluctuations, starting at around 18% in March 2020 and peaking at over 27% in June 2022. However, there has been a downward trend since then, with ROE declining to about 12% by December 2024.
Overall, while there have been periods of growth and decline in profitability ratios for Lithia Motors Inc, it is important for stakeholders to monitor these metrics closely to assess the company's financial performance and sustainability in the long run.