PTC Inc (PTC)
Profitability ratios
Return on sales
| Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | |
|---|---|---|---|---|---|
| Gross profit margin | 80.60% | 84.05% | 82.57% | 81.91% | 81.19% |
| Operating profit margin | 25.57% | 23.27% | 23.87% | 21.72% | 15.23% |
| Pretax margin | 20.39% | 16.88% | 21.19% | 22.35% | 9.73% |
| Net profit margin | 16.36% | 12.46% | 16.71% | 27.20% | 9.44% |
The profitability ratios of PTC Inc show a positive trend over the past five years.
1. Gross profit margin has remained relatively stable, ranging between 80.60% and 84.05%, indicating that the company is effectively managing its cost of goods sold.
2. Operating profit margin has shown improvement, increasing from 15.23% in 2020 to 25.57% in 2024. This suggests that the company has been able to control its operating expenses and generate more profit from its core business operations.
3. Pretax margin has also exhibited a positive trend, with significant increases from 9.73% in 2020 to 20.39% in 2024. This indicates that the company is efficiently managing its pre-tax earnings relative to its total revenue.
4. Net profit margin has shown substantial growth, with a significant improvement from 9.44% in 2020 to 16.36% in 2024. This suggests that the company is effectively managing its overall expenses, including taxes and interest payments, to generate higher net income relative to its total revenue.
Overall, the profitability ratios of PTC Inc demonstrate a trend of improving profitability and efficiency in managing its costs and generating profits over the past five years.
Return on investment
| Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 9.21% | 7.29% | 9.54% | 8.45% | 6.23% |
| Return on assets (ROA) | 5.90% | 3.90% | 6.68% | 10.58% | 3.86% |
| Return on total capital | 18.31% | 17.26% | 19.66% | 21.69% | 14.68% |
| Return on equity (ROE) | 11.71% | 9.17% | 13.64% | 23.40% | 9.09% |
PTC Inc has shown consistent profitability improvements over the past five years based on a comparison of various profitability ratios. The operating return on assets (Operating ROA) has increased steadily from 6.23% in 2020 to 9.21% in 2024, indicating that the company is generating more operating income relative to its assets.
Similarly, the Return on Assets (ROA) has also shown an upward trend, with a significant improvement from 3.86% in 2020 to 5.90% in 2024. This suggests that PTC Inc is effectively utilizing its assets to generate profits for its business operations.
The Return on Total Capital has ranged from 14.68% in 2020 to 18.31% in 2024, reflecting a consistent increase in profitability in relation to the total capital employed by the company. This indicates that PTC Inc is generating higher returns on the total capital invested in its operations over the years.
The Return on Equity (ROE) has also shown positive growth, with a notable increase from 9.09% in 2020 to 11.71% in 2024. This indicates that PTC Inc has been successful in generating higher returns for its shareholders' equity over the years.
Overall, the profitability ratios of PTC Inc demonstrate a positive trend, showcasing improved efficiency and effectiveness in utilizing assets and capital to generate profits for the company and its shareholders.