PPG Industries Inc (PPG)
Profitability ratios
Return on sales
| 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 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit margin | 39.72% | 40.81% | 40.54% | 40.93% | 41.11% | 40.06% | 39.09% | 37.97% | 37.14% | 36.77% | 36.92% | 37.59% | 38.78% | 40.53% | 42.44% | 43.50% | 43.78% | 43.65% | 43.10% | 43.03% |
| Operating profit margin | 14.28% | 11.43% | 11.21% | 11.00% | 11.05% | 12.17% | 11.69% | 10.77% | 9.73% | 9.28% | 9.16% | 9.60% | 10.66% | 12.00% | 13.37% | 13.00% | 11.99% | 11.66% | 10.73% | 11.48% |
| Pretax margin | 11.69% | 11.28% | 10.94% | 10.63% | 9.58% | 10.37% | 9.70% | 9.34% | 7.82% | 7.61% | 7.78% | 8.09% | 10.80% | 11.47% | 12.81% | 10.75% | 9.85% | 10.29% | 9.53% | 10.48% |
| Net profit margin | 7.04% | 8.24% | 7.98% | 7.74% | 6.96% | 7.84% | 7.38% | 7.18% | 5.81% | 6.08% | 6.20% | 6.26% | 8.56% | 8.71% | 9.71% | 8.33% | 7.66% | 7.85% | 7.23% | 7.88% |
Based on the provided data, PPG Industries Inc's profitability ratios have shown some fluctuations over the years.
1. Gross Profit Margin: PPG's gross profit margin has ranged from a high of 43.78% in December 2020 to a low of 36.77% in September 2022. The gross profit margin measures the percentage of revenue that exceeds the cost of goods sold, indicating how efficiently the company is managing its production process and pricing strategy.
2. Operating Profit Margin: PPG's operating profit margin has fluctuated between 9.16% in June 2022 to a peak of 14.28% in December 2024. The operating profit margin reflects the company's ability to control its operating expenses relative to its revenue, showing how effectively the company is managing its day-to-day operations.
3. Pretax Margin: PPG's pretax margin has varied from a low of 7.61% in September 2022 to a high of 12.81% in June 2021. The pretax margin represents the percentage of each dollar of revenue that translates into pre-tax profit, indicating how efficiently the company is generating profits before accounting for taxes.
4. Net Profit Margin: PPG's net profit margin has ranged from 5.81% in December 2022 to 9.71% in June 2021. The net profit margin measures the company's bottom line profitability after all expenses, including taxes, have been deducted, reflecting how efficiently the company is converting revenue into net income.
Overall, while PPG Industries Inc has experienced fluctuations in its profitability ratios over the years, it is important for the company to focus on maintaining and improving these margins to ensure long-term financial stability and growth.
Return on investment
| 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 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 11.65% | 9.43% | 9.34% | 9.14% | 9.32% | 10.24% | 9.68% | 8.64% | 8.28% | 7.85% | 7.46% | 9.02% | 8.39% | 10.93% | 11.46% | 11.35% | 8.48% | 8.76% | 8.20% | 9.47% |
| Return on assets (ROA) | 5.74% | 6.80% | 6.65% | 6.43% | 5.87% | 6.60% | 6.11% | 5.76% | 4.95% | 5.15% | 5.05% | 5.88% | 6.74% | 7.93% | 8.33% | 7.27% | 5.42% | 5.90% | 5.53% | 6.50% |
| Return on total capital | 30.85% | 29.20% | 28.54% | 27.38% | 25.50% | 27.44% | 25.94% | 26.17% | 23.65% | 24.86% | 24.41% | 24.59% | 30.81% | 33.18% | 34.84% | 31.92% | 29.16% | 30.19% | 30.84% | 36.21% |
| Return on equity (ROE) | 16.45% | 19.08% | 18.59% | 17.71% | 16.22% | 18.29% | 17.35% | 17.81% | 15.56% | 17.80% | 17.62% | 17.35% | 22.89% | 22.79% | 24.40% | 20.45% | 18.61% | 20.32% | 20.78% | 24.86% |
Based on the provided data, the profitability ratios of PPG Industries Inc exhibit varying trends over the reporting periods. The Operating Return on Assets (Operating ROA) ranged from a low of 7.46% in June 2022 to a peak of 11.65% in December 2024, with fluctuations evident throughout the years. This ratio signifies the company's efficiency in generating operating income relative to its total assets.
The Return on Assets (ROA) also displayed fluctuations, with a low of 4.95% in December 2022 and a high of 8.33% in June 2021. This metric reflects the company's ability to generate profit from its assets, showcasing a mix of performance levels over the years.
The Return on Total Capital ranged from 23.65% in December 2022 to 34.84% in June 2021, indicating the company's ability to generate returns from both equity and debt capital employed. This ratio demonstrates the efficiency of PPG Industries in generating profits relative to its total invested capital.
Lastly, the Return on Equity (ROE) varied from a low of 15.56% in December 2022 to a high of 24.86% in March 31, 2020. ROE measures the profitability of the company from the perspective of its shareholders and reflects how effectively the company is utilizing equity investments to generate profits.
Overall, the analysis of these profitability ratios showcases the fluctuating performance of PPG Industries Inc in terms of generating profits from its operations and capital investments over the reporting periods.