Paramount Skydance Corporation Class B Common Stock (PSKY)
Profitability ratios
Return on sales
| Jun 30, 2025 | Mar 31, 2025 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit margin | 31.77% | 32.58% | 29.64% | 30.31% | 30.11% | 26.80% | 24.13% | 24.61% | 24.80% | 27.93% | 34.19% | 34.00% | 34.66% | 36.23% | 37.93% | 39.95% | 40.46% | 41.26% | 40.71% | 40.81% |
| Operating profit margin | 4.92% | -14.98% | -18.04% | -17.27% | -16.06% | 1.22% | -1.62% | -1.28% | -1.47% | 2.09% | 8.84% | 16.07% | 17.29% | 19.45% | 22.03% | 17.19% | 17.82% | 18.25% | 16.39% | 14.09% |
| Pretax margin | 1.80% | -18.13% | -21.14% | -20.37% | -19.21% | -1.41% | -4.23% | -4.92% | -5.13% | -2.22% | 4.20% | 12.42% | 13.53% | 15.86% | 18.21% | 13.69% | 14.16% | 14.00% | 12.45% | 10.00% |
| Net profit margin | -0.05% | -19.09% | -21.19% | -20.40% | -19.12% | -1.60% | -3.40% | -3.63% | -3.87% | -1.47% | 3.56% | 10.46% | 11.60% | 14.26% | 15.89% | 12.29% | 12.81% | 10.82% | 9.58% | 7.24% |
The profitability ratios of Paramount Skydance Corporation Class B Common Stock indicate a trend of variability over the provided period, reflecting fluctuations in the company's ability to generate profit relative to sales and operations.
Gross Profit Margin:
Throughout the period, the gross profit margin demonstrates a decline from approximately 40.81% as of September 30, 2020, to a low of roughly 24.13% by December 31, 2023. The margin saw modest recoveries in 2024, rising to around 30.11% by June 30, 2024, and stabilizing near 30.31% by September 30, 2024, before edging slightly downward to 29.64% in December 2024, and subsequently rising to approximately 32.58% by March 31, 2025. This downward trend in gross margins during 2021 through 2023 suggests increasing cost pressures or declining pricing power affecting gross profitability, although some recovery commenced in early 2024.
Operating Profit Margin:
The operating profit margin exhibited a significant decline over the period, starting at approximately 14.09% as of September 30, 2020. It peaked at 22.03% in December 2021. Subsequently, it declined sharply, turning negative beginning in March 2022, and reaching as low as -18.04% by December 2024. However, there was a brief turnaround to a positive 4.92% in June 2025, indicating some operational improvements or restructuring efforts. The severe negative margins from 2022 through 2024 reflect operational challenges, potentially due to increased expenses, restructuring costs, or decreased revenue streams affecting efficiency.
Pretax Margin:
Similar to the operating margin, pretax margins showed a decreasing pattern, declining from approximately 10.00% in September 2020 to negative territory, with a nadir of around -21.14% in December 2024. A slight recovery is observed in June 2025 to approximately 1.80%, aligning with the trend of improving profitability or cost management efforts toward the end of the period.
Net Profit Margin:
The net profit margin follows a comparable trajectory. It was positive throughout most of 2020 and 2021, peaking at 15.89% in December 2021. The margin subsequently declined into negative territory from March 2022 onwards, reaching approximately -21.19% in December 2024. The marginal improvement to nearly break-even at -0.05% in June 2025 indicates potential signs of profitability recovery, possibly due to revenue growth, cost controls, or restructuring initiatives.
Overall Observation:
The company's profitability ratios reveal a period of decline in gross, operating, pretax, and net margins from 2020 through 2023, highlighting operational and financial challenges. The occurrence of negative margins from 2022 onwards suggests significant headwinds impacting profitability, potentially driven by increased costs, competitive pressures, or strategic repositioning. The signs of recovery beginning in mid-2024 and culminating in early 2025 point toward efforts to restore profitability, although the margins remain weak relative to historical levels.
Return on investment
| Jun 30, 2025 | Mar 31, 2025 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 3.15% | -9.48% | -11.41% | -10.78% | -10.25% | 0.70% | -0.90% | -0.70% | -0.79% | 1.11% | 4.57% | 8.42% | 9.02% | 9.55% | 10.74% | 8.25% | 8.50% | 8.67% | 7.87% | 9.76% |
| Return on assets (ROA) | -0.03% | -12.08% | -13.41% | -12.73% | -12.19% | -0.92% | -1.88% | -2.00% | -2.09% | -0.78% | 1.84% | 5.48% | 6.05% | 7.00% | 7.75% | 5.89% | 6.11% | 5.14% | 4.60% | 5.01% |
| Return on total capital | 8.21% | -26.32% | -32.58% | -30.12% | -28.88% | 2.09% | -1.62% | -2.69% | -2.24% | 2.19% | 10.92% | 12.33% | 13.26% | 14.57% | 17.94% | 23.07% | 23.75% | 25.25% | 29.00% | 35.59% |
| Return on equity (ROE) | -0.08% | -33.16% | -37.93% | -35.42% | -33.92% | -2.20% | -4.48% | -5.01% | -5.35% | -2.02% | 4.66% | 13.87% | 15.14% | 17.94% | 20.28% | 16.03% | 16.78% | 14.69% | 15.76% | 17.71% |
The profitability ratios of Paramount Skydance Corporation Class B Common Stock reveal significant fluctuations over the analyzed period, indicating evolving financial performance with sustained challenges in recent years.
Operating Return on Assets (Operating ROA):
Initially, the company demonstrated strong operating efficiency, with ratios peaking at 10.74% at the end of 2021. However, subsequent quarters experienced a marked decline, culminating in negative territory by early 2024, with the lowest point recorded at -10.78% as of September 2024. The ratio slightly improved to 3.15% by mid-2025, suggesting a possible recovery in operating efficiency.
Return on Assets (ROA):
Similar to Operating ROA, ROA showed a declining trend from levels around 7.75% in late 2021 to negative figures starting in early 2023. The ratio reached a low of -13.41% during late 2024, indicating substantial erosion in overall asset profitability. A modest positive turnaround was observed in mid-2025, with ROA at -0.03%, though still close to breakeven.
Return on Total Capital:
This metric reflected a declining trend commencing around late 2021, with ratios decreasing from over 17.94% in December 2021 to negative values by early 2023. The historic lows, hitting -32.58% in late 2024, highlight severe challenges in generating returns from total invested capital. A partial recovery occurred in mid-2025, reaching 8.21%, yet it remains below historical averages.
Return on Equity (ROE):
ROE has experienced a substantial decline from double-digit figures above 20% in late 2021 to deeply negative levels by mid-2024, with the worst at -37.93%. The negative trend indicates that shareholders have faced considerable losses, and the company's profitability on equity basis has been severely impaired. A slight improvement is noted in recent months, with ROE around -0.08% as of June 2025.
Overall Assessment:
Throughout the analyzed period, Paramount Skydance Corporation’s profitability ratios exhibit a downward trajectory, especially pronounced from early 2022 onwards. The transition from positive to negative ratios in ROA, operating ROA, return on total capital, and ROE suggests persistent operational and financial challenges, potentially involving diminished earnings, declining asset utilization, or increased costs. Despite a notable rebound in late 2024 and early 2025, the ratios remain volatile and indicate that the company has undergone significant profit erosion, with recent data suggesting a tentative or fragile recovery phase.