MGE Energy Inc (MGEE)
Profitability ratios
Return on sales
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Gross profit margin | — | — | — | — | — |
| Operating profit margin | — | — | — | — | — |
| Pretax margin | — | — | — | — | — |
| Net profit margin | — | — | — | — | — |
I'm sorry, but I cannot provide a detailed and comprehensive analysis of MGE Energy Inc's profitability ratios without the specific numerical values for the gross profit margin, operating profit margin, pre-tax margin, and net profit margin for the years 2019 to 2023. Please provide the necessary data for me to conduct a thorough analysis.
Return on investment
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 5.47% | 5.47% | 4.95% | 4.88% | 5.33% |
| Return on assets (ROA) | 4.40% | 4.41% | 4.46% | 4.10% | 4.17% |
| Return on total capital | 7.87% | 8.26% | 7.14% | 7.36% | 8.04% |
| Return on equity (ROE) | 10.32% | 10.26% | 10.29% | 9.47% | 10.15% |
The profitability ratios of MGE Energy Inc have shown relatively stable performance over the past five years.
1. Operating return on assets (Operating ROA) has remained consistent around 5% with a slight increase in 2023 compared to the previous year. This ratio indicates that the company generates approximately 5.47 cents of operating profit for every dollar of assets.
2. Return on assets (ROA) has fluctuated slightly between 4.10% and 4.46% over the five-year period. The ratio stood at 4.40% in 2023, suggesting that the company generates 4.40 cents of profit for every dollar of assets.
3. Return on total capital has shown varying trends, with a dip in 2021 followed by an increase to 7.87% in 2023. This ratio reflects the company's ability to generate profits from both equity and debt capital.
4. Return on equity (ROE) has also demonstrated stability around the 10% mark, indicating that MGE Energy Inc delivers a return of 10.32% on shareholders' equity in 2023.
Overall, MGE Energy Inc has maintained solid profitability ratios, showcasing efficient use of assets and capital to generate returns for its shareholders.