Power Integrations Inc (POWI)
Profitability ratios
Return on sales
| 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 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit margin | 51.50% | 52.13% | 53.68% | 55.66% | 56.35% | 56.18% | 54.84% | 52.96% | 51.28% | 50.12% | 49.43% | 49.15% | 49.88% | 50.39% | 50.86% | 50.87% | 50.73% | 50.86% | 51.10% | 51.41% |
| Operating profit margin | 7.89% | 11.88% | 17.04% | 23.49% | 27.71% | 29.16% | 28.10% | 26.12% | 24.89% | 23.26% | 20.40% | 17.30% | 14.43% | 50.08% | 51.48% | 51.23% | 51.59% | 10.37% | 10.61% | 11.89% |
| Pretax margin | 10.33% | 13.62% | 18.25% | 24.21% | 28.17% | 29.49% | 28.31% | 26.27% | 25.04% | 23.50% | 20.76% | 17.95% | 15.41% | 51.40% | 52.87% | 52.59% | 52.87% | 11.58% | 11.84% | 12.99% |
| Net profit margin | 12.54% | 13.40% | 17.58% | 22.85% | 26.24% | 27.00% | 25.83% | 24.01% | 23.38% | 22.16% | 19.78% | 17.21% | 14.58% | 44.72% | 45.94% | 45.82% | 45.99% | 14.50% | 14.79% | 15.67% |
Power Integrations Inc. has shown variations in its profitability ratios over the past eight quarters. The gross profit margin has fluctuated between 51.50% and 56.35% during this period. Although there was a downward trend observed, the company maintained a relatively healthy gross profit margin above 50%.
The operating profit margin displayed a similar trend, ranging from 7.89% to 29.32%. This ratio experienced more significant fluctuations compared to the gross profit margin, indicating fluctuating operating efficiency and cost management by the company.
The pretax margin varied between 10.33% and 29.49% over the same period, reflecting fluctuations in the company's operational profitability before accounting for taxes. The trend in the pretax margin generally mirrored that of the operating profit margin.
Lastly, the net profit margin ranged from 12.54% to 27.00%, indicating the company's ability to generate profit after all expenses, including taxes. The net profit margin showed fluctuations similar to the pretax and operating profit margins, albeit with varying magnitudes.
Overall, while Power Integrations Inc. has maintained profitability with positive net profit margins across all quarters, the fluctuating trends in its profitability ratios suggest varying levels of operational efficiency and cost management during the analyzed period.
Return on investment
| 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 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 4.28% | 6.59% | 10.20% | 15.87% | 21.48% | 24.32% | 24.85% | 20.23% | 17.26% | 15.77% | 13.19% | 10.12% | 7.80% | 25.84% | 26.84% | 27.31% | 27.00% | 6.51% | 6.76% | 7.96% |
| Return on assets (ROA) | 6.80% | 7.43% | 10.52% | 15.44% | 20.34% | 22.52% | 22.84% | 18.59% | 16.21% | 15.02% | 12.79% | 10.07% | 7.88% | 23.08% | 23.95% | 24.43% | 24.07% | 9.10% | 9.43% | 10.49% |
| Return on total capital | 4.66% | 7.26% | 11.42% | 17.73% | 23.89% | 27.17% | 28.31% | 22.66% | 19.19% | 17.45% | 14.66% | 11.19% | 8.70% | 29.03% | 30.17% | 30.38% | 29.95% | 7.33% | 7.71% | 9.00% |
| Return on equity (ROE) | 7.41% | 8.19% | 11.78% | 17.25% | 22.62% | 25.16% | 26.02% | 20.82% | 18.03% | 16.62% | 14.22% | 11.14% | 8.78% | 25.93% | 26.92% | 27.17% | 26.70% | 10.24% | 10.75% | 11.86% |
The profitability ratios for Power Integrations Inc. show a fluctuating trend over the past eight quarters.
- Operating return on assets (Operating ROA) has decreased from 21.61% in Q4 2022 to 4.28% in Q4 2023, indicating a decline in the company's ability to generate operating profits from its assets.
- Return on assets (ROA) has also shown a downward trend, dropping from 20.34% in Q4 2022 to 6.80% in Q4 2023, reflecting a decrease in the company's overall profitability relative to its total assets.
- Return on total capital has seen fluctuations, with the highest value of 28.47% in Q2 2022 and the lowest value of 4.66% in Q4 2023. This ratio indicates how efficiently the company is utilizing its total capital to generate profits.
- Return on equity (ROE) has followed a similar pattern, with the highest value of 26.02% in Q2 2022 and the lowest of 7.41% in Q4 2023. ROE measures the return generated on shareholder equity.
Overall, the declining trend in these profitability ratios may indicate potential challenges in the company's operations and financial performance. Further analysis would be required to understand the specific factors contributing to these variations and their impact on Power Integrations Inc.'s overall profitability and financial health.