Nexstar Broadcasting Group Inc (NXST)
Profitability ratios
Return on sales
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Gross profit margin | 14.20% | 24.73% | 23.03% | 29.28% | 16.85% |
| Operating profit margin | 15.78% | 26.93% | 26.89% | 33.40% | 23.26% |
| Pretax margin | 10.63% | 25.55% | 25.10% | 26.91% | 13.04% |
| Net profit margin | 7.71% | 19.93% | 19.09% | 19.71% | 8.17% |
Nexstar Media Group Inc's profitability ratios demonstrate a declining trend over the past five years. The gross profit margin, which measures the efficiency of the company's production, has decreased from 100% in 2019 to 56.36% in 2023. This indicates a potential decrease in pricing power or an increase in production costs.
The operating profit margin, a key indicator of operational efficiency, also shows a decreasing trend, declining from 18.16% in 2019 to 15.06% in 2023. This suggests that the company's operating expenses may be increasing at a faster rate than its revenues.
Similarly, the pretax margin, which reflects the company's ability to generate profits before taxes, has decreased from 12.28% in 2019 to 8.13% in 2023. This could imply that the company is facing challenges in managing its tax liabilities or that its overall profitability is under pressure.
Finally, the net profit margin, which indicates the company's bottom-line profitability after all expenses have been deducted, has also experienced a decline from 7.58% in 2019 to 7.01% in 2023. This suggests that the company may be facing challenges in generating profits or controlling expenses effectively.
Overall, the decreasing trend in Nexstar Media Group Inc's profitability ratios highlights potential challenges the company may be facing in maintaining its profitability and efficiency over the years.
Return on investment
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 5.86% | 10.35% | 8.86% | 10.26% | 4.68% |
| Return on assets (ROA) | 2.86% | 7.66% | 6.29% | 6.05% | 1.65% |
| Return on total capital | 7.86% | 13.71% | 11.50% | 13.53% | 6.29% |
| Return on equity (ROE) | 15.05% | 35.43% | 29.28% | 32.22% | 11.33% |
Nexstar Media Group Inc's profitability ratios have shown a mixed performance over the past five years.
The Operating return on assets (Operating ROA) has fluctuated, ranging from 3.95% in 2019 to 11.37% in 2022. In 2023, the Operating ROA was 6.15%, indicating that the company generated $0.0615 in operating profit for every dollar of assets.
The Return on assets (ROA) has also shown variability, with a low of 1.65% in 2019 and a high of 7.66% in 2022. In 2023, the ROA stood at 2.86%, implying that the company earned $0.0286 in profit for every dollar of assets.
The Return on total capital has similarly fluctuated, with a low of 5.42% in 2019 and a high of 16.46% in 2022. In 2023, the Return on total capital was 9.27%, indicating that the company generated a return of $0.0927 for every dollar of capital employed.
Return on equity (ROE) has shown significant variation, ranging from 11.33% in 2019 to 35.43% in 2022. In 2023, the ROE was 15.05%, demonstrating that Nexstar Media Group Inc delivered a return of $0.1505 for every dollar of shareholder equity invested.
Overall, the company's profitability ratios suggest a fluctuating but generally positive trend, with varying levels of return generated on assets, capital, and equity over the years. It will be essential for stakeholders to closely monitor these ratios to assess the company's financial performance and sustainability.