Alliant Energy Corp (LNT)
Profitability ratios
Return on sales
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Gross profit margin | 100.00% | 43.06% | 40.64% | 42.41% | 42.83% |
| Operating profit margin | 22.26% | 23.42% | 22.07% | 21.67% | 21.66% |
| Pretax margin | 14.47% | 17.56% | 16.84% | 16.35% | 16.60% |
| Net profit margin | 17.33% | 17.46% | 16.31% | 18.37% | 18.27% |
Alliant Energy Corp's profitability ratios show fluctuations over the years.
1. Gross profit margin: Alliant Energy Corp's gross profit margin has ranged between 40.64% and 43.06% over the past five years. The decrease in 2022 to 40.64% indicates a lower percentage of revenue retained after accounting for the cost of goods sold. The sharp increase to 100.00% in 2024 may be an anomaly or related to a specific event that requires further investigation.
2. Operating profit margin: The operating profit margin has been relatively stable, hovering around 21-23% range. The company has managed to maintain consistent profitability from its core operations over the years, with a slight dip in 2024 to 22.26%.
3. Pretax margin: Alliant Energy Corp's pretax margin has shown a slight fluctuation between 14.47% and 17.56% over the past five years. The decrease in 2024 to 14.47% may indicate a decline in profitability before accounting for taxes, which could be a point of concern for investors.
4. Net profit margin: The net profit margin, a measure of the company's bottom-line profitability after all expenses have been deducted, has fluctuated between 16.31% and 18.37%. While there was a significant decrease in 2022 to 16.31%, the margins have generally remained relatively stable, with a slight decrease to 17.33% in 2024.
Overall, Alliant Energy Corp has shown varying levels of profitability over the years, with some fluctuations in profit margins that may require further analysis to understand the underlying reasons.
Return on investment
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 3.90% | 4.44% | 4.60% | 4.29% | 4.18% |
| Return on assets (ROA) | 3.04% | 3.31% | 3.40% | 3.63% | 3.52% |
| Return on total capital | 512.50% | 15.86% | 14.36% | 13.12% | 12.59% |
| Return on equity (ROE) | 345.00% | 10.37% | 10.93% | 11.25% | 10.97% |
Alliant Energy Corp's profitability ratios indicate the company's ability to generate returns for its shareholders and efficiently utilize its assets.
1. Operating return on assets (Operating ROA) has shown a slight improvement over the years, increasing from 4.18% in 2020 to 4.44% in 2023. However, there was a slight dip to 3.90% in 2024, suggesting potential challenges in generating operating income relative to its total assets.
2. Return on assets (ROA) remained relatively stable around 3-3.5% over the five-year period, indicating Alliant Energy's ability to effectively generate profits from its assets. The slight decline in 2024 to 3.04% may require further investigation to understand the underlying reasons.
3. Return on total capital saw significant fluctuations, with a sharp increase to 512.50% in 2024 from 15.86% in 2023. Such a drastic change may be attributed to the company's capital structure or unusual events affecting the total capital calculation.
4. Return on equity (ROE) followed a similar pattern, with a substantial rise to 345.00% in 2024 from around 10-11% in the previous years. This sudden increase could be due to various factors like debt restructuring, asset sales, or extraordinary gains impacting the equity component.
Overall, while some ratios show positive trends, especially in operating performance and return on assets, the significant fluctuations in return on total capital and return on equity indicate the need for further analysis to assess the sustainability and underlying factors driving these changes.