Lamb Weston Holdings Inc (LW)
Profitability ratios
Return on sales
| May 26, 2024 | Feb 25, 2024 | Nov 26, 2023 | Aug 27, 2023 | May 28, 2023 | Feb 26, 2023 | Nov 27, 2022 | Aug 28, 2022 | May 29, 2022 | Feb 27, 2022 | Nov 28, 2021 | Aug 29, 2021 | May 30, 2021 | Feb 28, 2021 | Nov 29, 2020 | Aug 30, 2020 | May 31, 2020 | Feb 23, 2020 | Nov 24, 2019 | Aug 25, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit margin | 27.34% | 26.87% | 27.61% | 28.19% | 26.77% | 27.20% | 25.08% | 22.80% | 20.58% | 19.90% | 19.57% | 20.35% | 22.68% | 21.23% | 22.49% | 23.41% | 23.60% | 26.20% | 26.86% | 26.67% |
| Operating profit margin | 16.49% | 15.89% | 17.05% | 17.82% | 16.49% | 17.30% | 15.50% | 12.94% | 10.99% | 10.45% | 9.74% | 10.56% | 12.94% | 11.59% | 13.19% | 14.22% | 14.68% | 17.07% | 17.91% | 17.90% |
| Pretax margin | 14.79% | 20.57% | 21.65% | 20.96% | 23.06% | 14.92% | 14.15% | 12.90% | 6.75% | 7.65% | 6.32% | 8.71% | 11.13% | 9.23% | 10.94% | 12.06% | 12.61% | 15.67% | 16.57% | 16.25% |
| Net profit margin | 11.23% | 16.73% | 17.70% | 17.20% | 18.86% | 11.28% | 10.51% | 9.63% | 4.97% | 6.01% | 5.05% | 6.83% | 8.66% | 7.14% | 8.33% | 9.24% | 9.65% | 12.10% | 12.90% | 12.70% |
Lamb Weston Holdings Inc has shown varying profitability ratios over the last several quarters. The gross profit margin has fluctuated within a relatively narrow range, with a recent uptick to 27.34% in the most recent quarter. This indicates the company's ability to control production costs relative to its revenue.
The operating profit margin also displays fluctuation, with a recent increase to 16.49% in the most recent quarter, suggesting efficient management of operating expenses. However, the trend is not consistently upward, indicating some level of volatility in the company's operational efficiency.
The pretax margin has been more erratic, with significant swings in profitability over the quarters. The most recent figure of 14.79% suggests a moderate level of profitability before taxes, but the inconsistency in this ratio implies potential challenges in maintaining stable earnings growth.
The net profit margin has also shown fluctuations, with a recent figure of 11.23% indicating the portion of revenue that translates to net income after all expenses. While there have been peaks in profitability, such as the 18.86% net profit margin in a previous quarter, the overall trend suggests a need for improved cost management to enhance bottom-line performance.
In summary, Lamb Weston Holdings Inc's profitability ratios reflect a mixed performance in managing costs and generating profits. The company may benefit from focusing on maintaining stable and consistent profitability across all levels of its operations to drive long-term financial health.
Return on investment
| May 26, 2024 | Feb 25, 2024 | Nov 26, 2023 | Aug 27, 2023 | May 28, 2023 | Feb 26, 2023 | Nov 27, 2022 | Aug 28, 2022 | May 29, 2022 | Feb 27, 2022 | Nov 28, 2021 | Aug 29, 2021 | May 30, 2021 | Feb 28, 2021 | Nov 29, 2020 | Aug 30, 2020 | May 31, 2020 | Feb 23, 2020 | Nov 24, 2019 | Aug 25, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 14.46% | 14.35% | 15.36% | 16.03% | 13.53% | 16.34% | 15.29% | 12.27% | 10.73% | 9.93% | 9.00% | 9.56% | 11.28% | 9.78% | 11.27% | 12.23% | 11.94% | 19.44% | 20.34% | 21.28% |
| Return on assets (ROA) | 9.85% | 15.11% | 15.95% | 15.47% | 15.47% | 10.66% | 10.36% | 9.14% | 4.85% | 5.72% | 4.67% | 6.18% | 7.55% | 6.03% | 7.12% | 7.95% | 7.85% | 13.79% | 14.65% | 15.10% |
| Return on total capital | 59.59% | 59.14% | 64.89% | 69.75% | 62.50% | 116.27% | 121.92% | 106.12% | 123.27% | 103.82% | 102.44% | 93.43% | 98.79% | 90.06% | 114.62% | 157.41% | 232.04% | 249.26% | 350.72% | 743.01% |
| Return on equity (ROE) | 40.59% | 62.26% | 67.38% | 67.32% | 71.49% | 75.84% | 82.65% | 79.02% | 55.73% | 59.75% | 53.09% | 60.44% | 66.13% | 55.50% | 72.39% | 102.26% | 152.46% | 176.74% | 252.56% | 527.09% |
Lamb Weston Holdings Inc has demonstrated consistent profitability over the analyzed period, as evidenced by its profitability ratios. The Operating Return on Assets (Operating ROA) has shown a gradual increase from 9.00% in November 2021 to 16.34% in February 2023, before slightly declining to 14.46% in May 2024. This indicates the company's efficiency in generating operating profits relative to its asset base.
Return on Assets (ROA) has fluctuated but generally remained at healthy levels, ranging from 4.67% in November 2021 to a high of 15.95% in November 2023. This ratio reflects Lamb Weston's ability to generate profit from its total assets, with the results showing a satisfactory performance over the analyzed period.
Return on Total Capital has exhibited significant variability, with a notable increase from 93.43% in August 2021 to 743.01% in August 2019, before fluctuating within a wide range. This metric indicates the company's profitability in relation to its total invested capital, with the results suggesting a mix of strong and more volatile performance in this aspect.
Return on Equity (ROE) has also shown notable fluctuations, with values ranging from 53.09% in November 2021 to a peak of 252.56% in August 2019. This ratio reflects the company's ability to generate profit for its shareholders from their equity investment, showcasing strong returns despite some variability over the analyzed period.
Overall, Lamb Weston Holdings Inc has demonstrated a strong profitability performance based on the analyzed profitability ratios, indicating efficient utilization of assets and capital to generate returns for both operational activities and shareholders.