Inari Medical Inc (NARI)
Profitability ratios
Return on sales
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|
| Gross profit margin | 88.08% | 88.39% | 91.06% | 90.62% |
| Operating profit margin | -2.84% | -7.33% | 3.92% | 13.19% |
| Pretax margin | 0.86% | -6.83% | 3.86% | 9.87% |
| Net profit margin | -0.33% | -7.63% | 3.55% | 9.87% |
Inari Medical Inc's profitability ratios exhibit mixed performance over the past four years. The gross profit margin has shown a slight decline, from 91.06% in 2021 to 88.03% in 2023, indicating a decrease in the efficiency of production or an increase in the cost of goods sold.
However, the operating profit margin and net profit margin have shown a more significant deterioration over the same period. The operating profit margin decreased from 13.19% in 2020 to -2.84% in 2023, indicating that the company's operating expenses have outpaced its operating income. The net profit margin also declined from 9.87% in 2020 to -0.33% in 2023, implying that the company's bottom line has been negatively impacted by various factors.
The pretax margin has shown fluctuations but remained positive in all four years, indicating that the company was able to generate pre-tax profits. However, the downward trend from 9.87% in 2020 to 0.86% in 2023 suggests that the company's profitability before taxes has been decreasing over time.
Overall, Inari Medical Inc's profitability ratios suggest a decline in operational efficiency and profitability over the past four years, which may require further analysis to identify and address the underlying causes.
Return on investment
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|
| Operating return on assets (Operating ROA) | -2.08% | -5.57% | 3.48% | 8.60% |
| Return on assets (ROA) | -0.24% | -5.81% | 3.16% | 6.44% |
| Return on total capital | 0.96% | -6.21% | 4.59% | 7.45% |
| Return on equity (ROE) | -0.35% | -7.02% | 4.11% | 6.89% |
Inari Medical Inc's profitability ratios have shown fluctuations over the past four years.
1. Operating return on assets (Operating ROA) decreased from 8.60% in 2020 to -2.08% in 2023. This suggests that the company's operating income generated from its assets has declined significantly.
2. Return on assets (ROA) also decreased from 6.44% in 2020 to -0.24% in 2023. This indicates that the overall profitability in relation to total assets has worsened.
3. Return on total capital decreased from 9.20% in 2020 to -3.02% in 2023. This ratio reflects a declining trend in the company's ability to generate returns from both debt and equity capital.
4. Return on equity (ROE) decreased from 6.89% in 2020 to -0.35% in 2023. This indicator shows the company's ability to generate returns for its shareholders deteriorated over the years.
In summary, Inari Medical Inc's profitability ratios have shown decreasing trends, indicating a decline in the company's ability to generate profits from its assets, capital, and equity over the analyzed period.