Ross Stores Inc (ROST)
Profitability ratios
Return on sales
| Jan 31, 2025 | Feb 3, 2024 | Jan 31, 2024 | Jan 31, 2023 | Jan 28, 2023 | |
|---|---|---|---|---|---|
| Gross profit margin | 27.78% | 12.03% | 27.36% | 25.40% | 10.63% |
| Operating profit margin | 12.24% | -3.87% | 11.32% | 10.65% | -4.13% |
| Pretax margin | 13.05% | 12.03% | 12.13% | 10.63% | 10.63% |
| Net profit margin | 9.89% | 9.13% | 9.20% | 8.09% | 8.09% |
Ross Stores Inc's profitability ratios have shown some fluctuations over the years. The Gross Profit Margin, which indicates the percentage of revenue that exceeds the cost of goods sold, has seen an increase from 10.63% in January 28, 2023, to 27.78% in January 31, 2025. This indicates the company has become more efficient in managing its cost of goods sold.
The Operating Profit Margin, which reflects the company's ability to generate profits from its core operations, improved from -4.13% in January 28, 2023, to 12.24% in January 31, 2025. This indicates better operational efficiency and cost management by Ross Stores Inc.
The Pretax Margin, representing the percentage of each dollar of revenue that result in pre-tax income, has shown a consistent increase over the years from 10.63% in January 28, 2023, to 13.05% in January 31, 2025. This indicates the company's ability to effectively control its expenses and generate higher pre-tax income.
In terms of Net Profit Margin, which measures the company's profitability after all expenses have been deducted, there has been a steady growth from 8.09% in January 28, 2023, to 9.89% in January 31, 2025. This suggests that Ross Stores Inc has been successful in managing its costs and increasing its profitability over the years.
Overall, Ross Stores Inc's profitability ratios show an improving trend, indicating better cost management, operational efficiency, and overall profitability performance of the company.
Return on investment
| Jan 31, 2025 | Feb 3, 2024 | Jan 31, 2024 | Jan 31, 2023 | Jan 28, 2023 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 17.35% | -5.57% | 16.14% | 14.83% | -5.75% |
| Return on assets (ROA) | 14.03% | 13.11% | 13.11% | 11.27% | 11.27% |
| Return on total capital | 51.20% | 35.95% | 52.26% | 46.41% | 30.66% |
| Return on equity (ROE) | 37.95% | 38.48% | 38.48% | 35.26% | 35.26% |
Ross Stores Inc's profitability ratios have shown a mixed performance over the past few years.
1. Operating return on assets (Operating ROA) varied significantly, ranging from -5.75% to a high of 17.35% in January 31, 2025. This indicates fluctuations in the company's ability to generate operating profits from its assets.
2. Return on assets (ROA) remained relatively stable, with values ranging from 11.27% to 14.03%. This metric reflects the company's ability to generate profits from its total assets, showing a consistent performance over the years.
3. Return on total capital showed an upward trend, increasing from 30.66% in January 28, 2023, to 51.20% in January 31, 2025. This indicates that the company has been effectively utilizing its total capital to generate returns for its stakeholders.
4. Return on equity (ROE) remained relatively stable, ranging from 35.26% to 38.48%. ROE reflects the company's ability to generate profits from the shareholders' equity, and the consistent performance suggests a stable return for equity investors.
Overall, Ross Stores Inc has demonstrated a relatively stable performance in terms of profitability, with some fluctuations in the operating return on assets but a consistent return on equity and total capital over the years.