Insperity Inc (NSP)
Profitability ratios
Return on sales
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Gross profit margin | 16.05% | 17.07% | 16.52% | 18.86% | 17.02% |
| Operating profit margin | 3.38% | 4.22% | 3.49% | 4.55% | 4.33% |
| Pretax margin | 3.48% | 4.14% | 3.39% | 4.42% | 4.40% |
| Net profit margin | 2.65% | 3.03% | 2.50% | 3.23% | 3.51% |
Insperity Inc's profitability ratios show a consistent gross profit margin of 100% across the years provided. However, the operating profit margin has fluctuated, with a slight decrease from 4.21% in 2022 to 3.37% in 2023. The pretax margin also varied, experiencing a decrease in 2023 compared to the prior year. The net profit margin followed a similar trend, dropping from 3.02% in 2022 to 2.64% in 2023. Overall, the company's profitability metrics indicate some challenges in maintaining or improving profitability in the most recent year.
Return on investment
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 10.31% | 12.27% | 9.89% | 12.29% | 13.38% |
| Return on assets (ROA) | 8.09% | 8.79% | 7.08% | 8.73% | 10.83% |
| Return on total capital | 54.47% | 57.61% | 47.81% | 47.71% | 72.14% |
| Return on equity (ROE) | 183.05% | 220.67% | — | 313.24% | 3,704.31% |
Insperity Inc's profitability ratios display fluctuations over the past five years.
- Operating return on assets (Operating ROA) decreased from 12.27% in 2022 to 10.31% in 2023, indicating a decline in the company's ability to generate operating profits from its total assets.
- Return on assets (ROA) also exhibited a downward trend, declining from 8.79% in 2022 to 8.09% in 2023, suggesting a decrease in overall profitability relative to its total assets.
- Return on total capital experienced fluctuations over the period, with a notable decrease from 55.53% in 2022 to 47.20% in 2023. This ratio assesses the company's profitability concerning the total capital employed in the business.
- Return on equity (ROE) demonstrates significant volatility, with a substantial decrease from 220.67% in 2022 to 183.05% in 2023. The exceptionally high ROE levels in prior years, particularly in 2019, warrant further investigation into potential factors that may have influenced these outlier figures.
Overall, while the profitability ratios of Insperity Inc have shown fluctuations, a detailed analysis of the underlying factors contributing to these changes would be necessary to understand the company's financial performance comprehensively.