Liquidity Services Inc (LQDT)
Profitability ratios
Return on sales
| 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 | Dec 31, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit margin | 50.43% | 53.34% | 54.26% | 54.04% | 54.22% | 54.09% | 54.67% | 56.66% | 57.29% | 57.84% | 57.87% | 57.82% | 58.02% | 58.62% | 57.26% | 55.29% | 53.13% | 50.43% | 49.80% | 50.23% |
| Operating profit margin | 6.37% | 7.06% | 7.45% | 7.26% | 8.22% | 9.45% | 13.31% | 16.65% | 16.91% | 16.15% | 12.47% | 10.05% | 10.52% | 9.93% | 7.13% | 2.68% | -1.88% | -6.97% | -8.85% | -8.70% |
| Pretax margin | 7.42% | 8.16% | 8.58% | 8.41% | 9.14% | 10.07% | 13.65% | 16.82% | 17.00% | 16.16% | 12.61% | 10.18% | 10.68% | 10.24% | 7.45% | 3.13% | -1.39% | -6.49% | -8.28% | -8.05% |
| Net profit margin | 5.44% | 5.85% | 6.23% | 5.96% | 6.61% | 7.39% | 10.99% | 14.21% | 14.38% | 23.51% | 20.60% | 18.60% | 19.74% | 9.74% | 7.00% | 2.83% | -1.78% | -6.86% | -8.78% | -8.68% |
Liquidity Services Inc's profitability ratios have exhibited some fluctuations over the past few quarters. The gross profit margin has generally remained relatively stable, hovering around the mid-50% range, indicating consistency in the company's ability to generate profits from its sales after accounting for the cost of goods sold.
In terms of operating profit margin, there has been variability in the company's ability to control operating expenses and generate operating income. While there have been peaks and valleys, the overall trend seems to show a recent improvement in profitability from the mid-single digits to double-digit figures.
The pretax margin reflects the company's ability to manage its operating costs and financial expenses before taxes. This ratio has also shown fluctuations, but there seems to be a general upward trend in recent quarters, reaching double-digit figures and indicating an improvement in efficiency and profitability at the pre-tax level.
The net profit margin, which represents the company's bottom line efficiency in managing all costs to ultimately generate profits, has shown some volatility. While there have been some quarters with significant profits, the margin has also dipped into negative territory. However, the most recent quarters have seen a positive trend, with the company achieving double-digit net profit margins, demonstrating improved profitability and cost management compared to the earlier quarters.
Overall, Liquidity Services Inc has shown resilience in maintaining its gross profit margin, while making efforts to improve its operating efficiency and profitability at both pre-tax and net profit levels in recent quarters.
Return on investment
| 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 | Dec 31, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 6.75% | 7.38% | 8.03% | 8.27% | 9.03% | 10.41% | 14.10% | 17.70% | 16.45% | 15.72% | 12.42% | 9.42% | 10.63% | 10.15% | 7.27% | 2.79% | -1.98% | -7.36% | -10.65% | -10.84% |
| Return on assets (ROA) | 5.76% | 6.11% | 6.71% | 6.80% | 7.26% | 8.14% | 11.64% | 15.12% | 14.00% | 22.89% | 20.50% | 17.44% | 19.93% | 9.95% | 7.14% | 2.94% | -1.87% | -7.23% | -10.57% | -10.81% |
| Return on total capital | 12.82% | 13.97% | 14.87% | 13.92% | 16.16% | 18.92% | 26.42% | 30.75% | 30.68% | 30.74% | 25.84% | 19.71% | 20.12% | 20.77% | 14.78% | 4.97% | -3.49% | -13.27% | -17.94% | -17.27% |
| Return on equity (ROE) | 10.95% | 11.57% | 12.43% | 11.44% | 12.99% | 14.79% | 21.82% | 26.26% | 26.09% | 44.75% | 42.67% | 36.50% | 37.74% | 20.36% | 14.52% | 5.24% | -3.29% | -13.05% | -17.80% | -17.23% |
The profitability ratios of Liquidity Services Inc show a fluctuating trend over the past several quarters.
1. Operating return on assets (Operating ROA) has shown a decreasing trend from 14.10% in March 2023 to 6.75% in September 2024. This indicates that the company's operating income generated from its assets has decreased over this period.
2. Return on assets (ROA) has also shown a decreasing trend, from 11.64% in March 2023 to 5.76% in September 2024. This suggests a decline in the company's overall profitability relative to its total assets.
3. Return on total capital has fluctuated but remained generally stable within a range, with a peak of 30.75% in December 2022 and a low of 4.97% in December 2020. This ratio reflects the company's ability to generate returns from both equity and debt capital.
4. Return on equity (ROE) has shown a similar fluctuating trend, with variations from 21.82% in March 2023 to 10.95% in September 2024. This ratio indicates the company's profitability in relation to shareholders' equity and has also seen some volatility.
Overall, Liquidity Services Inc's profitability ratios have been subject to fluctuations, possibly indicating changes in the company's operations, financial structure, or economic conditions affecting its performance. Further analysis would be needed to determine the specific factors driving these trends and potential implications for the company's financial health.