Nextracker Inc. Class A Common Stock (NXT)
Profitability ratios
Return on sales
| Mar 31, 2025 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit margin | 34.09% | 37.66% | 36.13% | 34.19% | 32.52% | 24.67% | 20.89% | 17.73% | 15.09% | 12.92% | 11.36% | 10.37% | 9.85% | 12.40% | 14.71% | 17.42% | 19.40% |
| Operating profit margin | 21.60% | 25.78% | 25.43% | 24.57% | 23.49% | 15.65% | 12.82% | 10.75% | 8.86% | 7.43% | 5.70% | 4.91% | 4.52% | 7.55% | 9.64% | 11.75% | 13.26% |
| Pretax margin | 21.90% | 26.43% | 26.37% | 25.08% | 24.32% | 16.00% | 12.44% | 10.72% | 8.89% | 7.47% | 5.59% | 4.86% | 4.47% | 7.52% | 9.61% | 11.71% | 13.22% |
| Net profit margin | 17.21% | 20.12% | 17.26% | 14.87% | 12.25% | 5.53% | 6.11% | 5.82% | 6.25% | 5.46% | 4.22% | 3.84% | 3.49% | 5.88% | 7.59% | 9.22% | 10.40% |
Nextracker Inc. Class A Common Stock has shown a positive trend in profitability ratios over the analyzed period. The gross profit margin, which measures the percentage of revenue remaining after deducting the cost of goods sold, has consistently improved from 19.40% in March 2021 to 37.66% in December 2024.
Similarly, the operating profit margin, indicating the company's operating efficiency, has increased steadily from 13.26% in March 2021 to 25.78% in December 2024. This suggests the company has effectively managed its operating expenses over time.
The pretax margin, representing the proportion of income before taxes relative to total revenue, has also shown a positive trajectory, climbing from 13.22% in March 2021 to 26.43% in December 2024. This indicates the company's ability to generate profits before accounting for tax expenses has grown consistently.
Moreover, the net profit margin, which reflects the percentage of revenue that translates into net income, has exhibited a generally upward trend, improving from 10.40% in March 2021 to 20.12% in December 2024. This implies that Nextracker Inc. has efficiently managed its overall expenses to generate higher returns for shareholders.
Overall, the improving profitability margins suggest that Nextracker Inc. has been successful in enhancing its operational efficiency and controlling costs, leading to a more profitable performance over the analyzed period.
Return on investment
| Mar 31, 2025 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 20.02% | 23.95% | 25.74% | 25.63% | 23.31% | 17.04% | 13.14% | 12.83% | 11.87% | 10.75% | 7.29% | 6.60% | 6.48% | 9.82% | 13.16% | 14.93% | 18.00% |
| Return on assets (ROA) | 15.95% | 18.69% | 17.47% | 15.51% | 12.16% | 6.02% | 6.26% | 6.95% | 8.37% | 7.91% | 5.40% | 5.17% | 5.00% | 7.64% | 10.35% | 11.71% | 14.11% |
| Return on total capital | 28.56% | 52.08% | 56.63% | 59.76% | 58.87% | — | — | — | — | 140.75% | 108.71% | 14.14% | — | — | 26.83% | 28.71% | 34.76% |
| Return on equity (ROE) | 31.27% | 39.64% | 38.20% | 36.34% | 30.87% | — | — | — | — | 103.47% | 80.51% | 11.07% | — | — | 21.11% | 22.53% | 27.27% |
Nextracker Inc.'s profitability ratios provide valuable insights into the company's ability to generate returns for its stakeholders.
1. Operating Return on Assets (Operating ROA):
- Nextracker's Operating ROA has shown a gradual decline from 18.00% in March 2021 to 20.02% in March 2025. This ratio indicates the company's efficiency in utilizing its assets to generate operating profits.
2. Return on Assets (ROA):
- The ROA also displays a fluctuating trend, starting at 14.11% in March 2021, dropping to 5.00% in March 2022, and recovering to 15.95% in March 2025. ROA measures the company's overall profitability in relation to its total assets.
3. Return on Total Capital:
- The Return on Total Capital varies significantly over the reported period, with some missing data points. Notably, there is a sharp increase from 14.14% in June 2022 to 140.75% in December 2022, followed by fluctuations and a decrease to 28.56% in March 2025. This ratio reflects the company's ability to generate returns from all sources of capital.
4. Return on Equity (ROE):
- Nextracker's ROE has exhibited a similar pattern of fluctuation, with highlights including a surge to 103.47% in December 2022 before moderating to 31.27% in March 2025. ROE measures the company's profitability in relation to shareholders' equity.
In summary, Nextracker Inc.'s profitability ratios depict a dynamic financial performance, with some periods of robust returns and others showing challenges in maintaining profitability. Monitoring these ratios can help stakeholders assess the company's financial health and performance over time.