Oxford Industries Inc (OXM)
Profitability ratios
Return on sales
| Feb 3, 2024 | Jan 28, 2023 | Jan 29, 2022 | Jan 30, 2021 | Feb 1, 2020 | |
|---|---|---|---|---|---|
| Gross profit margin | 63.28% | 62.86% | 61.64% | 55.45% | 57.39% |
| Operating profit margin | 5.15% | 15.47% | 14.44% | -16.54% | 8.34% |
| Pretax margin | 4.76% | 15.25% | 14.36% | -16.81% | 8.22% |
| Net profit margin | 3.86% | 11.72% | 11.46% | -12.78% | 6.09% |
Oxford Industries Inc's profitability ratios have exhibited varying levels of performance over the past five fiscal years. The gross profit margin has generally shown a positive trend, increasing from 57.39% in 2020 to 63.28% in 2024, indicating the company's ability to efficiently manage its cost of goods sold.
However, the operating profit margin has been more volatile, with a significant decline to -16.54% in 2021, followed by a recovery to 5.15% in 2024. This suggests fluctuations in the company's operating expenses and overhead costs over the years.
Similarly, the pretax margin and net profit margin have also shown fluctuations. The pretax margin was negative in 2021 due to significant one-time charges, but improved to positive levels in subsequent years. The net profit margin followed a similar pattern, displaying a negative figure in 2021 but recovering to 3.86% in 2024.
Overall, while the company has managed to improve its gross profitability, its operating and net profitability have been more inconsistent, reflecting potential challenges in cost management and operational efficiency. Investors and stakeholders may need to closely monitor these ratios for sustained improvement in the company's overall profitability performance.
Return on investment
| Feb 3, 2024 | Jan 28, 2023 | Jan 29, 2022 | Jan 30, 2021 | Feb 1, 2020 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 7.38% | 18.41% | 17.28% | -14.31% | 9.07% |
| Return on assets (ROA) | 5.53% | 13.94% | 13.71% | -11.05% | 6.63% |
| Return on total capital | 13.72% | 32.40% | 32.60% | -30.53% | 17.72% |
| Return on equity (ROE) | 10.82% | 29.79% | 25.87% | -23.59% | 12.96% |
Oxford Industries Inc's profitability ratios have shown fluctuations over the past five years. The Operating Return on Assets (Operating ROA) has declined from 18.41% in 2023 to 7.38% in 2024, indicating a decrease in operating efficiency in generating profits from its assets. Similarly, the Return on Assets (ROA) has also decreased from 13.94% in 2023 to 5.53% in 2024, suggesting a decline in overall profitability relative to its total assets.
In terms of Return on Total Capital, there has been a significant decrease from 32.40% in 2023 to 13.72% in 2024. This ratio reflects the company's ability to generate returns from both equity and debt capital employed in its operations.
The Return on Equity (ROE) has followed a similar trend, declining from 29.79% in 2023 to 10.82% in 2024. This indicates a decrease in the company's ability to generate profits relative to the shareholders' equity invested in the business.
Overall, the decreasing trend in profitability ratios over the years suggests potential challenges in efficiently utilizing assets and generating sufficient returns for both debt and equity holders. Further analysis of the company's financial performance and strategic decisions may be required to address these profitability concerns.