Nexstar Broadcasting Group Inc (NXST)
Profitability ratios
Return on sales
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Gross profit margin | 100.00% | 56.92% | 61.53% | 60.21% | 62.05% |
| Operating profit margin | 23.45% | 14.35% | 25.18% | 25.29% | 30.56% |
| Pretax margin | 17.74% | 8.13% | 23.36% | 23.52% | 24.54% |
| Net profit margin | 13.35% | 7.01% | 18.63% | 17.94% | 18.03% |
Over the five-year period from 2020 to 2024, Nexstar Broadcasting Group Inc experienced fluctuations in its profitability ratios.
- Gross Profit Margin:
- The gross profit margin decreased from 62.05% in 2020 to 56.92% in 2023 but then remarkably improved to 100.00% in 2024. This indicates a strong performance in generating revenue after deducting the cost of goods sold.
- Operating Profit Margin:
- The operating profit margin declined from 30.56% in 2020 to 14.35% in 2023, showing a significant reduction in efficiency in controlling operating expenses. However, there was a recovery in 2024 with an operating profit margin of 23.45%.
- Pretax Margin:
- The pretax margin also followed a declining trend, falling from 24.54% in 2020 to 8.13% in 2023, before climbing back to 17.74% in 2024. This highlights fluctuations in the company's ability to generate profits before taxes.
- Net Profit Margin:
- The net profit margin fluctuated, starting at 18.03% in 2020, declining to 7.01% in 2023, and then recovering to 13.35% in 2024. This indicates changes in the company's overall profitability after all expenses, including taxes, are taken into account.
Overall, the company faced challenges in maintaining profitability ratios during the period, with improvements seen in 2024. It is essential for Nexstar Broadcasting Group Inc to continue monitoring and managing its costs effectively to sustain and enhance its profitability in the future.
Return on investment
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 11.06% | 5.86% | 10.35% | 8.86% | 10.26% |
| Return on assets (ROA) | 6.30% | 2.86% | 7.66% | 6.29% | 6.05% |
| Return on total capital | 62.69% | 36.89% | 56.68% | 48.27% | 57.17% |
| Return on equity (ROE) | 31.99% | 15.05% | 35.43% | 29.26% | 32.22% |
Nexstar Broadcasting Group Inc's profitability ratios demonstrate varying levels of performance over the five-year period from 2020 to 2024.
1. Operating Return on Assets (Operating ROA):
- The Operating ROA shows the company's operating income generated in relation to its total assets.
- Nexstar's Operating ROA fluctuated during the period, starting at 10.26% in 2020, declining to 5.86% in 2023, and then rebounding to 11.06% in 2024.
2. Return on Assets (ROA):
- The ROA indicates the company's overall profitability relative to its total assets.
- Nexstar's ROA remained relatively stable, with values ranging from 6.05% in 2020 to 6.30% in 2024.
3. Return on Total Capital:
- This ratio measures the return the company generates from all its capital, including debt and equity.
- Nexstar's Return on Total Capital also varied over the years, with the highest value of 62.69% in 2024 and the lowest of 36.89% in 2023.
4. Return on Equity (ROE):
- The ROE signifies the return generated on shareholder equity.
- Nexstar's ROE showed mixed results, starting at 32.22% in 2020, dipping to 15.05% in 2023, and concluding at 31.99% in 2024.
Overall, Nexstar Broadcasting Group Inc exhibited fluctuations in its profitability ratios over the five-year period, with some ratios showing improvement from 2023 to 2024. Investors and analysts should closely monitor these ratios to gauge the company's financial performance and profitability.