Progyny Inc (PGNY)
Profitability ratios
Return on sales
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Gross profit margin | 21.87% | 21.24% | 22.38% | 20.31% | 19.82% |
| Operating profit margin | 5.69% | 2.96% | 6.45% | 2.42% | 4.21% |
| Pretax margin | 6.47% | 3.10% | 6.47% | 2.52% | -3.73% |
| Net profit margin | 5.68% | 3.85% | 13.13% | 13.47% | -3.73% |
Progyny Inc's profitability ratios indicate a mixed performance over the past five years. The gross profit margin has shown a slight improvement, increasing from 19.81% in 2019 to 21.94% in 2023. This suggests that the company has been able to effectively manage its cost of goods sold and generate more revenue per dollar of sales.
The operating profit margin has varied significantly, with a notable increase from 2.42% in 2020 to 5.71% in 2023. This improvement indicates that Progyny has been more efficient in controlling its operating expenses and has generated higher profit from its core business operations.
The pretax margin has also shown improvement, rising from 2.52% in 2020 to 6.49% in 2023. This suggests that the company has been able to enhance its overall profitability before accounting for taxes, which is a positive sign for investors.
However, the net profit margin has been more volatile, with fluctuations over the years. Despite the fluctuations, the net profit margin has generally been positive, except in 2019 when it was -3.73%. The significant improvement in 2021, where it reached 13.14%, indicates that Progyny has been able to efficiently manage its expenses and taxes to generate higher net income.
Overall, Progyny Inc has shown improvement in its profitability ratios, reflecting better management of costs and operations. However, the company may need to focus on maintaining this trend and ensuring consistency in profitability across all levels of the income statement.
Return on investment
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 8.22% | 4.30% | 9.03% | 3.29% | 6.43% |
| Return on assets (ROA) | 8.20% | 5.59% | 18.37% | 18.30% | -5.70% |
| Return on total capital | 11.24% | 6.19% | 12.84% | 5.00% | 8.47% |
| Return on equity (ROE) | 11.21% | 8.05% | 26.12% | 27.83% | -7.50% |
Progyny Inc's profitability ratios show a mixed performance over the past five years. The Operating return on assets (Operating ROA) has been relatively stable, ranging from 3.29% to 9.03%, with a significant increase from 2020 to 2021. This indicates that the company's operating income generated from its assets has been improving.
The Return on assets (ROA) has fluctuated over the years, reaching a peak in 2021 at 18.37% before decreasing to 8.20% in 2023. This metric reflects the company's ability to generate profits from its total assets, and the variation suggests some volatility in the efficiency of asset utilization.
Return on total capital has also shown variability, with an upward trend from 2019 to 2021, indicating an improvement in the returns generated on the total capital employed by the company. The ratio reached its peak in 2021 at 12.84%.
Return on equity (ROE) has displayed significant fluctuations, especially with a negative value in 2019. However, there has been a notable increase in ROE from 2020 onwards, reaching a peak in 2021 at 26.12%. This indicates a strong performance in generating profits from shareholders' equity.
Overall, while Progyny Inc has shown improvement in some profitability ratios such as Operating ROA and ROE, there have been fluctuations in ROA and Return on total capital, suggesting some variability in the company's profitability performance over the years.