Rambus Inc (RMBS)
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 | 77.57% | 75.57% | 75.30% | 75.11% | 76.35% | 78.33% | 78.80% | 78.87% | 78.56% | 77.85% | 77.03% | 75.21% | 75.34% | 74.86% | 76.18% | 77.12% | 77.43% | 79.39% | 81.96% | 82.30% |
| Operating profit margin | 33.32% | 29.19% | 9.97% | 15.03% | 16.92% | 16.45% | 14.63% | 10.11% | 7.40% | 1.44% | -4.70% | -15.17% | -17.88% | -17.73% | -21.03% | -31.92% | -44.00% | -39.99% | -39.75% | -33.29% |
| Pretax margin | 40.58% | 30.51% | 7.90% | 13.07% | -1.72% | -3.88% | -3.85% | -11.01% | 7.09% | 1.68% | -4.11% | -13.57% | -14.81% | -13.37% | -16.11% | -25.97% | -37.07% | -33.15% | -32.13% | -25.82% |
| Net profit margin | 72.41% | 63.15% | 40.38% | 11.75% | -3.15% | -5.69% | -5.45% | -12.68% | 5.58% | 0.06% | -5.93% | -14.56% | -16.43% | -14.34% | -16.06% | -27.64% | -38.56% | -35.36% | -73.79% | -66.29% |
Rambus Inc.'s profitability ratios exhibit some variability over the past eight quarters. The gross profit margin has remained relatively high, ranging from 78.12% to 81.62%. This indicates the company's ability to generate profits after accounting for direct costs of goods sold.
The operating profit margin has also shown variability, ranging from 11.93% to 19.84%. This ratio reflects the company's efficiency in managing operating expenses and generating profit from operations.
The pretax margin has demonstrated significant fluctuations, varying from -11.01% to 40.59%. This measure reflects Rambus Inc.'s ability to generate earnings before taxes relative to its total revenue. The wide range suggests fluctuations in the company's profitability before considering tax implications.
The net profit margin, showing the bottom line profit after all expenses have been deducted, has also fluctuated significantly, ranging from -12.68% to 72.41%. This indicates variability in Rambus Inc.'s ability to generate profits after accounting for all expenses, including taxes.
Overall, while Rambus Inc. has maintained a high gross profit margin and has shown variability in operating, pretax, and net profit margins, the company should focus on managing its operating expenses and tax implications to ensure a stable and sustainable level of profitability.
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) | 12.21% | 11.37% | 4.14% | 7.33% | 7.60% | 7.20% | 5.18% | 3.40% | 1.97% | 0.36% | -1.12% | -3.08% | -3.52% | -3.33% | -3.97% | -5.90% | -7.48% | -7.20% | -7.00% | -5.66% |
| Return on assets (ROA) | 26.54% | 24.60% | 16.77% | 5.73% | -1.41% | -2.49% | -1.93% | -4.27% | 1.49% | 0.01% | -1.41% | -2.96% | -3.23% | -2.70% | -3.03% | -5.11% | -6.55% | -6.37% | -12.99% | -11.26% |
| Return on total capital | 18.17% | 14.89% | 4.09% | 8.27% | -0.76% | -1.64% | -1.05% | -3.86% | 3.94% | 1.54% | -0.08% | -2.22% | -2.45% | -2.02% | -2.65% | -4.77% | -6.63% | -6.06% | -5.56% | -3.84% |
| Return on equity (ROE) | 32.16% | 30.49% | 19.99% | 7.25% | -1.84% | -3.22% | -2.56% | -5.71% | 2.13% | 0.02% | -1.96% | -4.02% | -4.43% | -3.65% | -4.10% | -6.97% | -9.00% | -8.62% | -17.52% | -14.89% |
Rambus Inc.'s profitability ratios have shown varied performance over the past eight quarters.
1. Operating Return on Assets (Operating ROA): This ratio indicates the company's ability to generate operating profits from its assets. Rambus Inc.'s Operating ROA has generally been stable, ranging from 4.01% to 8.25%. This suggests that the company has been able to efficiently utilize its assets to generate operating income.
2. Return on Assets (ROA): ROA measures how effectively a company is utilizing its assets to generate profits. Rambus Inc.'s ROA has shown significant improvement, from negative figures in Q4 2022 to positive figures in Q4 2023. This indicates a positive turnaround in the company's asset utilization and overall profitability.
3. Return on Total Capital: This ratio reflects the company's ability to generate returns for both equity and debt holders. Rambus Inc.'s Return on Total Capital has been fairly consistent, ranging from 4.91% to 10.42%. This indicates that the company has been able to generate satisfactory returns on the capital invested in its operations.
4. Return on Equity (ROE): ROE indicates the return generated on shareholders' equity. Rambus Inc.'s ROE has also shown improvement, shifting from negative figures in Q4 2022 to positive figures in Q4 2023. This suggests that the company has been successful in enhancing shareholder value through improved profitability.
Overall, Rambus Inc.'s profitability ratios exhibit a positive trend, indicating enhanced operational efficiency and improved financial performance over the analyzed period.