Monolithic Power Systems Inc (MPWR)
Profitability ratios
Return on sales
| 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 | Sep 30, 2019 | Mar 31, 2019 | Dec 31, 2018 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit margin | 56.07% | 56.80% | 57.65% | 58.28% | 58.44% | 58.34% | 58.05% | 57.34% | 56.75% | 56.18% | 55.49% | 55.25% | 55.18% | 55.13% | 55.14% | 55.17% | 55.15% | 55.28% | 55.36% | 55.41% |
| Operating profit margin | 26.45% | 27.86% | 28.43% | 29.71% | 29.36% | 28.04% | 26.27% | 23.47% | 21.73% | 20.27% | 19.87% | 18.65% | 18.81% | 19.23% | 17.41% | 17.65% | 18.32% | 18.97% | 19.03% | 19.49% |
| Pretax margin | 27.78% | 28.85% | 29.28% | 29.93% | 29.26% | 27.90% | 26.17% | 23.97% | 22.54% | 21.26% | 21.08% | 20.23% | 20.05% | 20.35% | 18.64% | 18.68% | 19.58% | 20.24% | 20.36% | 20.34% |
| Net profit margin | 23.47% | 24.61% | 24.50% | 25.06% | 24.39% | 23.42% | 22.40% | 20.75% | 20.04% | 19.22% | 19.13% | 18.65% | 19.47% | 19.78% | 18.60% | 19.28% | 18.37% | 18.43% | 18.43% | 18.08% |
Looking at Monolithic Power System Inc's profitability ratios over the past eight quarters, we can observe the following trends:
1. Gross Profit Margin: The gross profit margin has shown a slight decline from 58.44% in Q4 2022 to 56.07% in Q4 2023. This indicates that the company's cost of goods sold has been rising relative to its revenue.
2. Operating Profit Margin: The operating profit margin has fluctuated over the quarters but generally shows a positive trend, increasing from 23.93% in Q1 2022 to 30.06% in Q1 2023. This suggests that the company has been able to effectively manage its operating expenses and generate higher profits from its core business activities.
3. Pre-Tax Margin: The pre-tax margin has also shown an upward trend over the quarters, reaching 29.93% in Q1 2023 from 23.97% in Q1 2022. This indicates that the company has been able to improve its profitability before accounting for taxes and other expenses.
4. Net Profit Margin: The net profit margin, which is a key measure of a company's overall profitability, has generally improved from 20.75% in Q1 2022 to 25.06% in Q1 2023. This suggests that Monolithic Power System Inc has been successful in controlling its costs and increasing its net income relative to its revenue.
Overall, despite some fluctuations, Monolithic Power System Inc has shown improvements in its profitability ratios over the past eight quarters, indicating efficient cost management and solid revenue generation strategies.
Return on investment
| 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 | Sep 30, 2019 | Mar 31, 2019 | Dec 31, 2018 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 19.79% | 21.87% | 23.66% | 24.92% | 25.59% | 24.26% | 22.05% | 18.23% | 16.55% | 14.96% | 15.05% | 13.30% | 13.15% | 12.88% | 11.17% | 11.26% | 12.08% | 12.92% | 13.34% | 14.30% |
| Return on assets (ROA) | 17.56% | 19.31% | 20.39% | 21.01% | 21.26% | 20.26% | 18.80% | 16.11% | 15.26% | 14.19% | 14.50% | 13.30% | 13.60% | 13.25% | 11.94% | 12.30% | 12.11% | 12.54% | 12.92% | 13.27% |
| Return on total capital | 23.50% | 26.17% | 28.57% | 31.24% | 31.57% | 30.60% | 27.67% | 23.56% | 21.09% | 19.25% | 19.01% | 17.03% | 16.44% | 16.36% | 14.10% | 13.95% | 14.93% | 16.11% | 16.64% | 17.73% |
| Return on equity (ROE) | 20.85% | 23.12% | 24.62% | 26.34% | 26.23% | 25.56% | 23.59% | 20.83% | 19.46% | 18.25% | 18.30% | 17.04% | 17.01% | 16.83% | 15.06% | 15.24% | 14.97% | 15.65% | 16.11% | 16.45% |
Monolithic Power System Inc has demonstrated consistently strong profitability performance over the past eight quarters based on the provided data. The company's Operating Return on Assets (Operating ROA) has shown a positive trend, with figures ranging from 18.59% to 25.97%. This indicates the company's ability to generate operating profits relative to its total assets.
Return on Assets (ROA) has also depicted a similar upward trajectory, ranging between 16.11% and 21.26% over the same period. ROA measures the company's ability to generate earnings from its assets, and the increasing trend suggests effective asset utilization and management by Monolithic Power System Inc.
The Return on Total Capital figures have been consistently high, ranging from 23.50% to 32.05%, reflecting the company's efficiency in generating returns from both equity and debt investments. This indicates a robust capital structure and effective capital allocation strategies.
Furthermore, Monolithic Power System Inc's Return on Equity (ROE) has followed an upward trajectory, with values ranging from 20.83% to 26.34%. The increasing trend signifies the company's ability to generate profits from shareholder investments, showcasing favorable financial performance and shareholder value creation.
Overall, the profitability ratios suggest that Monolithic Power System Inc has been successful in effectively utilizing its assets, capital, and equity to generate profits and create value for its stakeholders.
See also:
Monolithic Power Systems Inc Profitability Ratios (Quarterly Data)