EchoStar Corporation (SATS)
Profitability ratios
Return on sales
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Gross profit margin | 35.95% | 29.80% | 56.86% | 60.54% | 60.57% |
| Operating profit margin | -1.92% | -1.63% | 9.49% | 10.93% | 5.96% |
| Pretax margin | -0.48% | -11.35% | 11.67% | 6.46% | -1.47% |
| Net profit margin | -0.17% | -10.00% | 8.86% | 3.67% | -2.75% |
EchoStar Corporation's profitability ratios indicate a somewhat inconsistent performance over the past five years. The gross profit margin remained relatively stable between 2020 and 2021, but experienced a decline in 2022 and a significant decrease in 2023, before showing a slight improvement in 2024.
The operating profit margin exhibited a similar trend, starting at a low point in 2020, then improving in 2021 and 2022, yet turning negative in 2023 and 2024. This indicates a decline in the company's ability to generate profits from its core operations in the latter years.
The pretax margin also reflected a mixed performance, with a negative figure in 2020, followed by a positive trend in 2021 and 2022, before reversing to negative values in 2023 and 2024. This suggests fluctuating pre-tax profitability levels and potential challenges in controlling operating costs and expenses.
Similarly, the net profit margin varied significantly, with negative margins in 2020 and 2023, a positive margin in 2021 and 2022, and a return to negative territory in 2024. This indicates that EchoStar Corporation struggled with maintaining consistent levels of net profit relative to its revenue across the years, possibly due to fluctuations in costs and expenses.
Overall, the analysis of EchoStar Corporation's profitability ratios highlights the need for the company to address the factors impacting its profit margins and work towards achieving more sustainable and consistent profitability in the future.
Return on investment
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | -0.50% | -0.49% | 3.06% | 3.59% | 1.59% |
| Return on assets (ROA) | -0.04% | -2.98% | 2.86% | 1.21% | -0.73% |
| Return on total capital | -2.76% | -9.28% | 97.48% | 6.67% | 3.39% |
| Return on equity (ROE) | -0.13% | -8.56% | 5.05% | 2.17% | -1.47% |
EchoStar Corporation's profitability ratios demonstrate mixed performance over the past five years.
- Operating Return on Assets (Operating ROA) has shown some improvement, increasing from 1.59% in 2020 to 3.59% in 2021 before declining slightly to 3.06% in 2022. However, the ratio turned negative in 2023 and 2024, indicating a decrease in operating efficiency and profitability.
- Return on Assets (ROA) started negative in 2020 at -0.73% but improved to 1.21% in 2021 and further to 2.86% in 2022. However, it dropped to -2.98% in 2023 and recovered slightly to -0.04% in 2024, showcasing inconsistency in asset utilization and generating profits.
- Return on Total Capital peaked significantly in 2022 at 97.48%, indicating high profitability relative to the total capital employed. However, it sharply declined in 2023 and 2024, turning negative, reflecting potential capital misallocation or unprofitable investments.
- Return on Equity (ROE) improved from -1.47% in 2020 to 2.17% in 2021 and 5.05% in 2022. Nevertheless, it declined to -8.56% in 2023 and recovered slightly to -0.13% in 2024, showing fluctuations in the returns generated for shareholders' equity.
In summary, EchoStar Corporation's profitability ratios have displayed a mix of positive and negative trends over the past five years, indicating varying levels of operational efficiency, asset utilization, and returns to capital providers and shareholders.