Revvity Inc. (RVTY)
Profitability ratios
Return on sales
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Gross profit margin | 49.43% | 46.07% | 60.08% | 63.59% | 55.78% |
| Operating profit margin | 12.58% | 10.93% | 22.43% | 32.88% | 22.93% |
| Pretax margin | 11.01% | 25.32% | 21.39% | 32.85% | 23.72% |
| Net profit margin | 9.81% | 25.20% | 17.19% | 24.64% | 19.24% |
Revvity Inc.'s profitability ratios have shown some fluctuation over the years based on the provided data.
1. Gross Profit Margin:
- The gross profit margin has varied, increasing from 55.78% in 2020 to a peak of 63.59% in 2021, before decreasing to 49.43% in 2024.
- This ratio indicates how efficiently the company is generating profits from its revenue after deducting the cost of goods sold.
2. Operating Profit Margin:
- The operating profit margin has also fluctuated, rising to 32.88% in 2021 and then declining to 12.58% in 2024.
- This metric reflects the company's ability to control its operating expenses relative to its revenue.
3. Pretax Margin:
- The pretax margin exhibited variability, reaching 32.85% in 2021, dropping to 11.01% in 2024.
- It shows the proportion of pre-tax income to total revenue, providing insights into the company's overall profitability.
4. Net Profit Margin:
- The net profit margin has been inconsistent, ranging from 19.24% in 2020 to 9.81% in 2024.
- This ratio assesses the company's ability to translate revenue into bottom-line profit after accounting for all expenses, including taxes.
In conclusion, Revvity Inc.'s profitability ratios have shown mixed performance over the years, suggesting fluctuations in its ability to generate profits relative to its revenue and manage operating expenses effectively. Monitoring these ratios over time can help identify trends and areas for improvement in the company's profitability.
Return on investment
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 2.80% | 2.22% | 5.26% | 8.39% | 10.89% |
| Return on assets (ROA) | 2.18% | 5.11% | 4.03% | 6.29% | 9.14% |
| Return on total capital | 3.21% | 2.72% | 6.57% | 10.38% | 17.72% |
| Return on equity (ROE) | 3.53% | 8.80% | 7.71% | 13.21% | 19.49% |
Revvity Inc.'s profitability ratios have shown a general declining trend over the years from 2020 to 2024.
- Operating return on assets (Operating ROA) decreased from 10.89% in 2020 to 2.80% in 2024, indicating a reduction in the efficiency of generating operating profit from its assets.
- Return on assets (ROA) decreased from 9.14% in 2020 to 2.18% in 2024, showing a decline in the company's ability to generate profits from its total assets.
- Return on total capital decreased from 17.72% in 2020 to 3.21% in 2024, indicating a decrease in the returns generated from both debt and equity capital invested in the company.
- Return on equity (ROE) decreased from 19.49% in 2020 to 3.53% in 2024, reflecting a decrease in the profitability relative to the equity shareholders' investment.
Overall, the declining trend in profitability ratios suggests that Revvity Inc. may be facing challenges in efficiently utilizing its assets and capital to generate returns for its shareholders. Management may need to strategize and improve operational efficiency to reverse this trend and enhance profitability in the future.