MDU Resources Group Inc (MDU)
Profitability ratios
Return on sales
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Gross profit margin | 35.76% | 44.28% | 27.74% | 26.64% | 26.59% |
| Operating profit margin | 9.15% | 8.33% | 9.40% | 9.85% | 9.02% |
| Pretax margin | 10.18% | 10.41% | 8.22% | 8.58% | 7.47% |
| Net profit margin | 8.90% | 8.27% | 6.66% | 7.05% | 6.29% |
The profitability ratios of MDU Resources Group Inc show a fluctuating trend over the past five years. The gross profit margin has been relatively high, ranging from 81.73% to 91.74%, indicating the company's ability to control its cost of goods sold and generate profits from its core operations.
The operating profit margin, though slightly variable, has generally been stable, hovering between 8.23% and 9.85%. This suggests that MDU Resources has effectively managed its operating expenses relative to its total revenue.
The pretax margin has shown some volatility, with a range of 6.63% to 11.59%. This ratio reflects the company's ability to generate profits before accounting for taxes and indicates fluctuations in non-operating income or expenses over the years.
The net profit margin, a key indicator of overall profitability, has also fluctuated, ranging from 5.27% to 8.90%. While showing positive profitability overall, there has been variability in the bottom line performance, potentially due to factors such as interest expenses, taxes, or one-time gains or losses.
In conclusion, MDU Resources Group Inc has maintained strong gross profit margins and relatively stable operating profit margins, but there have been fluctuations in pretax and net profit margins over the past five years, indicating some variability in the company's overall profitability performance.
Return on investment
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 5.44% | 3.83% | 6.00% | 6.77% | 6.26% |
| Return on assets (ROA) | 5.29% | 3.80% | 4.24% | 4.85% | 4.37% |
| Return on total capital | 11.44% | 9.85% | 9.39% | 10.80% | 9.80% |
| Return on equity (ROE) | 14.27% | 10.24% | 11.18% | 12.67% | 11.78% |
MDU Resources Group Inc's profitability ratios depict varying levels of performance over the five-year period from 2019 to 2023.
The operating return on assets (Operating ROA) shows the company's ability to generate operating income from its total assets. The ratio has been relatively stable, ranging from 5.44% in 2023 to 6.77% in 2020, indicating consistent operational efficiency in utilizing assets to generate profits.
The Return on Assets (ROA) indicates the overall profitability of the company in relation to its total assets. MDU Resources' ROA has fluctuated over the years, with a peak of 5.29% in 2023 and a low of 3.80% in 2022. This metric reflects the company's ability to generate profits from its assets, with improvements seen in recent years.
The Return on Total Capital measures the profitability of both debt and equity capital invested in the company. MDU Resources' performance in this regard has shown a declining trend from 8.72% in 2021 to 8.04% in 2023. This suggests a decreasing return on the total capital employed by the company over the period.
The Return on Equity (ROE) indicates the return on shareholders' equity investment in the company. MDU Resources' ROE has displayed growth, with the ratio increasing from 10.24% in 2019 to 14.27% in 2023. This signifies that the company has been increasingly efficient in generating profits from shareholders' equity.
Overall, MDU Resources Group Inc has demonstrated a mixed performance in terms of profitability ratios, with improvements in operational efficiency and returns to shareholders, while facing challenges in maintaining returns on total capital.