NewMarket Corporation (NEU)
Profitability ratios
Return on sales
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit margin | 31.81% | 30.84% | 29.94% | 29.37% | 28.63% | 28.31% | 26.08% | 24.36% | 23.17% | 21.35% | 21.57% | 22.07% | 23.25% | 25.65% | 28.21% | 28.54% | 29.59% | 29.13% | 28.33% | 29.73% |
| Operating profit margin | 21.17% | 20.13% | 19.19% | 18.53% | 17.90% | 17.94% | 15.82% | 14.15% | 12.85% | 10.57% | 10.27% | 10.30% | 10.94% | 12.91% | 15.18% | 14.40% | 15.51% | 15.06% | 14.23% | 16.45% |
| Pretax margin | 20.96% | 19.98% | 19.13% | 18.63% | 18.12% | 17.99% | 15.85% | 14.24% | 12.58% | 10.13% | 9.68% | 9.45% | 10.51% | 12.74% | 15.94% | 15.39% | 16.47% | 15.94% | 14.14% | 16.31% |
| Net profit margin | 16.59% | 15.57% | 15.12% | 14.82% | 14.41% | 14.57% | 12.69% | 11.33% | 10.11% | 7.76% | 7.54% | 7.36% | 8.10% | 10.43% | 12.94% | 12.62% | 13.45% | 12.58% | 10.96% | 12.54% |
NewMarket Corporation's profitability ratios have shown certain trends over the past few years.
- Gross profit margin has been fluctuating, starting at a relatively high level of around 29% in 2020 but decreasing to around 21% in mid-2022 before gradually improving to around 32% by the end of 2024.
- Operating profit margin followed a similar pattern, starting at 16.45% in 2020, decreasing to below 11% in late 2021, and then steadily increasing to over 21% by the end of 2024.
- Pretax margin has also displayed a consistent improvement over the years, starting at around 16% in 2020, dipping to below 10% in 2022, and then climbing back to nearly 21% by the end of 2024.
- Net profit margin, reflecting bottom-line profitability, has shown a comparable trend, beginning at 12.54% in 2020, dropping to around 8% in late 2021, and then rising to over 16% by the end of 2024.
Overall, NewMarket Corporation has demonstrated a recovery in profitability ratios after facing challenges in the mid-2020s, with margins strengthening towards the end of 2024. These improvements suggest enhanced operational efficiency and potentially more effective cost management strategies implemented by the company.
Return on investment
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 18.85% | 17.64% | 16.56% | 15.80% | 20.92% | 21.45% | 18.49% | 16.88% | 14.76% | 12.03% | 11.39% | 11.07% | 10.08% | 12.22% | 13.46% | 12.11% | 16.12% | 16.16% | 16.30% | 18.83% |
| Return on assets (ROA) | 14.78% | 13.65% | 13.05% | 12.64% | 16.84% | 17.42% | 14.83% | 13.52% | 11.61% | 8.82% | 8.37% | 7.91% | 7.46% | 9.87% | 11.47% | 10.62% | 13.99% | 13.50% | 12.55% | 14.36% |
| Return on total capital | 43.89% | 44.51% | 45.95% | 47.19% | 48.87% | 54.86% | 53.57% | 53.05% | 50.23% | 45.54% | 39.61% | 35.39% | 36.97% | 41.95% | 44.49% | 41.48% | 47.07% | 48.19% | 50.22% | 60.88% |
| Return on equity (ROE) | 31.64% | 31.67% | 33.27% | 34.63% | 36.10% | 41.05% | 39.31% | 38.67% | 36.67% | 30.90% | 27.04% | 23.75% | 25.05% | 31.13% | 33.48% | 31.44% | 35.61% | 35.08% | 35.54% | 43.43% |
NewMarket Corporation's profitability ratios exhibit fluctuations over the reporting periods.
1. Operating return on assets (Operating ROA) experienced a decline from 18.83% as of March 31, 2020, to a low of 10.08% by December 31, 2021, before showing an upward trend to reach 18.85% by December 31, 2024.
2. Return on assets (ROA) also varied, with a peak of 17.42% as of September 30, 2023. However, it decreased to 12.64% by March 31, 2024, before slightly recovering to 14.78% by December 31, 2024.
3. Return on total capital saw fluctuations from a high of 60.88% on March 31, 2020, to a low of 43.89% by December 31, 2024, following a volatile trend during the intervening quarters.
4. Return on equity (ROE) had a similar pattern, with peaks around 41% in September 30, 2023, and moderate declines after that, showing a trend towards 31.64% by December 31, 2024.
Overall, the profitability ratios of NewMarket Corporation indicate variations in the company's ability to generate profits from its assets and equity over the analyzed periods. The trends in these ratios may reflect changes in the company's operational efficiency, asset utilization, and financial leverage.