Roivant Sciences Ltd (ROIV)
Profitability ratios
Return on sales
| Mar 31, 2024 | Mar 31, 2023 | Mar 31, 2022 | |
|---|---|---|---|
| Gross profit margin | -663.68% | -1,704.03% | -1,506.45% |
| Operating profit margin | 4,712.47% | -3,528.22% | -2,801.62% |
| Pretax margin | 4,855.92% | -3,013.45% | -1,751.26% |
| Net profit margin | 4,831.23% | -3,029.03% | -1,752.02% |
Roivant Sciences Ltd has shown significant improvement in its profitability ratios over the past three years. The gross profit margin has improved from negative percentages in 2022 and 2023 to -663.68% in 2024, indicating a smaller loss relative to revenue. The operating profit margin has also seen a remarkable recovery, increasing from negative percentages in the previous years to a substantial 4,712.47% in 2024, indicating strong operating efficiency.
Moreover, the pretax margin has significantly improved, moving from a negative figure in 2023 and 2022 to 4,855.92% in 2024. This suggests better overall profitability before accounting for taxes. The net profit margin has also shown a substantial improvement, indicating a sizable net profit relative to revenue. Overall, these positive trends suggest that Roivant Sciences Ltd has made significant strides in improving its operational efficiency and bottom-line profitability.
Return on investment
| Mar 31, 2024 | Mar 31, 2023 | Mar 31, 2022 | |
|---|---|---|---|
| Operating return on assets (Operating ROA) | 58.73% | -49.18% | -52.29% |
| Return on assets (ROA) | 60.21% | -42.23% | -32.70% |
| Return on total capital | 71.37% | -72.91% | -44.88% |
| Return on equity (ROE) | 72.86% | -87.15% | -51.01% |
The profitability ratios of Roivant Sciences Ltd for the fiscal years ending on March 31, 2024, 2023, and 2022 exhibit significant fluctuations.
Operating return on assets (Operating ROA) improved notably from -49.18% in 2023 to 58.73% in 2024, indicating that the company was able to generate a higher operating profit from its assets in the most recent year. This positive trend suggests that the company's operational efficiency and asset utilization have strengthened.
Return on assets (ROA) also demonstrated an upward trajectory, shifting from -42.23% in 2023 to 60.21% in 2024. This improvement signifies that the company's overall profitability in relation to its total assets has significantly enhanced, reflecting better management of its assets to generate profits.
Return on total capital surged from -72.91% in 2023 to 71.37% in 2024, signifying a remarkable recovery in utilizing both debt and equity capital to generate profits. This substantial positive change implies enhanced efficiency in the company's capital allocation and utilization, leading to a higher return on capital employed.
Return on equity (ROE) also exhibited a noteworthy reversal from -87.15% in 2023 to 72.86% in 2024. This improvement indicates that the company's ability to generate profits from shareholders' equity has strengthened significantly, reflecting enhanced financial performance and potentially improved business operations.
Overall, the significant improvements in the profitability ratios of Roivant Sciences Ltd from 2023 to 2024 suggest enhanced operational efficiency, effective utilization of assets and capital, and improved profitability. These positive trends may indicate better financial health and performance for the company in the most recent fiscal year.