NRG Energy Inc. (NRG)
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 | 14.75% | 11.50% | 16.56% | 17.33% | 10.01% | 2.96% | 0.22% | 0.24% | 12.99% | 16.69% | 25.45% | 30.71% | 24.05% | 31.14% | 25.87% | 21.22% | 28.08% | 28.96% | 29.11% | 26.52% |
| Operating profit margin | 4.20% | 2.20% | 6.91% | 6.65% | -0.22% | -5.93% | -6.95% | -6.03% | 6.59% | 9.49% | 17.41% | 21.73% | 12.38% | 17.31% | 10.34% | 5.31% | 12.15% | 14.36% | 15.63% | 13.57% |
| Pretax margin | 5.14% | 4.93% | 9.75% | 7.55% | -0.74% | -7.56% | -8.49% | -7.38% | 5.27% | 8.00% | 15.75% | 19.90% | 10.59% | 15.09% | 8.22% | 2.97% | 8.37% | 11.00% | 11.20% | 8.60% |
| Net profit margin | 3.99% | 3.43% | 7.20% | 5.77% | -0.70% | -5.96% | -6.75% | -5.90% | 3.87% | 6.15% | 11.93% | 14.95% | 8.10% | 11.11% | 5.90% | 2.02% | 5.61% | 43.90% | 44.34% | 42.14% |
The profitability ratios of NRG Energy Inc. have shown fluctuations over the period under consideration. The Gross Profit Margin, which measures the percentage of revenue remaining after subtracting the cost of goods sold, varied between 12.99% to 31.14% during this time frame.
The Operating Profit Margin, indicating the percentage of revenue remaining after deducting operating expenses, ranged from -6.95% to 21.73%. These negative values in 2023 suggest that operating expenses exceeded operating income during those quarters.
The Pretax Margin, reflecting the percentage of revenue remaining after accounting for all operating expenses but before taxes, fluctuated between -8.49% to 19.90%. The negative values in 2023 indicate that the company's operating expenses and financial costs outstripped its pre-tax income during those quarters.
The Net Profit Margin, representing the percentage of revenue remaining after all expenses, including taxes, was between -6.75% to 44.34%. The negative values in 2023 and low values in 2020 and 2021 indicate that the company's bottom line was affected by high expenses relative to its revenue during these periods.
Overall, the analysis of NRG Energy Inc.'s profitability ratios shows a mix of positive and negative trends, reflecting the company's operational efficiency and profitability challenges during the period analyzed.
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) | 4.92% | 2.61% | 7.73% | 7.47% | -0.24% | -6.34% | -7.29% | -6.36% | 7.13% | 9.05% | 14.62% | 19.75% | 14.41% | 13.60% | 8.69% | 4.18% | 7.42% | 10.88% | 11.97% | 10.24% |
| Return on assets (ROA) | 4.68% | 4.06% | 8.05% | 6.47% | -0.78% | -6.37% | -7.09% | -6.23% | 4.19% | 5.86% | 10.02% | 13.59% | 9.43% | 8.73% | 4.96% | 1.60% | 3.42% | 33.26% | 33.95% | 31.80% |
| Return on total capital | 93.18% | 86.90% | 96.30% | 86.29% | 15.76% | -46.90% | -61.55% | -60.32% | 54.34% | 56.22% | 93.98% | 115.19% | 92.89% | 93.13% | 75.12% | 55.70% | 67.74% | 74.15% | 87.37% | 83.53% |
| Return on equity (ROE) | 45.40% | 38.25% | 57.25% | 49.86% | -6.95% | -50.57% | -61.67% | -60.06% | 31.90% | 36.82% | 64.91% | 79.62% | 60.75% | 59.86% | 42.14% | 20.24% | 30.36% | 210.24% | 239.37% | 265.43% |
Based on the data provided for NRG Energy Inc., we can analyze the profitability ratios as follows:
1. Operating Return on Assets (Operating ROA):
- The Operating ROA shows the company's operating profit as a percentage of its total assets. NRG Energy Inc.'s Operating ROA has fluctuated over the quarters but generally improved from March 2020 to June 2022, peaking at 19.75% in March 2022. However, there was a significant decline in the last few quarters, with negative percentages recorded from March 2023 to December 2023 before recovering slightly.
2. Return on Assets (ROA):
- The ROA indicates the company's net income as a percentage of its total assets. NRG Energy Inc.'s ROA exhibited a similar pattern of fluctuation, with a peak of 33.95% in June 2020 and subsequent declines to negative values in the quarters from March 2023 to December 2023. The ratio recovered to positive values in the following quarters.
3. Return on Total Capital:
- This ratio measures the company's profitability relative to its total capital employed. NRG Energy Inc.'s Return on Total Capital also experienced fluctuations, with a peak of 115.19% in March 2022. Similar to the other ratios, there was a period of negative returns in the quarters from March 2023 to September 2023, followed by a recovery in profitability.
4. Return on Equity (ROE):
- The ROE reflects the company's net income in relation to shareholder equity. NRG Energy Inc.'s ROE decreased from the beginning of 2020 to the end of 2020, before showing some improvement in subsequent quarters. The ROE mirror the trend seen in the other profitability ratios mentioned earlier.
Overall, the company's profitability ratios have shown variability over the quarters, with some periods of strong performance and others of decline. It is important to assess the reasons behind these fluctuations to better understand the performance of NRG Energy Inc. and its potential for sustainable profitability in the future.