One Gas Inc (OGS)
Profitability ratios
Return on sales
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Gross profit margin | 37.20% | 30.74% | 25.08% | 32.29% | 36.71% |
| Operating profit margin | 19.15% | 15.92% | 13.57% | 17.15% | 19.83% |
| Pretax margin | 12.44% | 11.46% | 10.41% | 13.64% | 15.55% |
| Net profit margin | 10.70% | 9.75% | 8.60% | 11.41% | 12.84% |
One Gas Inc's profitability ratios have shown varying trends over the years as indicated by the provided data.
- Gross Profit Margin: One Gas Inc's gross profit margin decreased from 36.71% in 2020 to 25.08% in 2022 and then increased to 37.20% in 2024. The gross profit margin measures the percentage of revenue retained after deducting the cost of goods sold, indicating the efficiency of the company in generating profits from its core operations.
- Operating Profit Margin: The operating profit margin declined from 19.83% in 2020 to 13.57% in 2022 but subsequently improved to 19.15% in 2024. This ratio reflects the company's ability to control operating expenses relative to revenue, showing the profitability of the company's core business activities.
- Pretax Margin: One Gas Inc's pretax margin decreased from 15.55% in 2020 to 10.41% in 2022 before rising to 12.44% in 2024. The pretax margin indicates the percentage of revenue that remains as profit before accounting for taxes, highlighting the company's overall profitability before tax obligations.
- Net Profit Margin: The net profit margin also reflected a decline from 12.84% in 2020 to 8.60% in 2022 and then increased to 10.70% in 2024. The net profit margin represents the percentage of revenue that results in net income after deducting all expenses, including taxes.
Overall, despite some fluctuations, One Gas Inc's profitability ratios have shown a mix of improvements and declines over the years. It is essential for the company to analyze these trends to identify areas for improvement and ensure sustainable profitability in the long run.
Return on investment
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 4.74% | 4.86% | 4.50% | 3.69% | 5.03% |
| Return on assets (ROA) | 2.64% | 2.98% | 2.85% | 2.46% | 3.26% |
| Return on total capital | 13.09% | 13.99% | 13.38% | 13.07% | 13.36% |
| Return on equity (ROE) | 7.18% | 8.36% | 8.58% | 8.79% | 8.79% |
One Gas Inc's profitability ratios show a mixed performance over the past five years.
- Operating return on assets (Operating ROA) saw a slight decline from 5.03% in 2020 to 3.69% in 2021, but then improved to 4.50% in 2022, before continuing to increase to 4.86% in 2023, and finally slightly dropping to 4.74% in 2024. This indicates that the company's operating income generated from its assets has fluctuated but remained relatively stable during this period.
- Return on assets (ROA) also showed a downward trend, decreasing from 3.26% in 2020 to 2.46% in 2021. Although it improved slightly to 2.85% in 2022, it decreased again to 2.98% in 2023, and further dropped to 2.64% in 2024. This suggests that the company's overall profitability in relation to its total assets has been on a decreasing trend.
- Return on total capital remained relatively stable, fluctuating around the range of 13% over the five-year period, with a peak of 13.99% in 2023. This indicates that the company has been able to maintain a consistent return on the total capital invested in the business.
- Return on equity (ROE) showed a declining trend, decreasing from 8.79% in 2020 and 2021 to 7.18% in 2024. This indicates a reduction in the profitability of the company in relation to the shareholder's equity over the five-year period.
Overall, while One Gas Inc's return on total capital remained relatively stable, there were fluctuations in its operating return on assets, return on assets, and return on equity, indicating a mixed performance in terms of profitability ratios over the five-year period. Further analysis and financial context would be needed to fully understand the reasons behind these trends.