Starbucks Corporation (SBUX)
Profitability ratios
Return on sales
| Sep 30, 2024 | Mar 31, 2024 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit margin | 62.79% | 63.92% | 64.13% | 63.68% | 63.14% | 62.91% | 62.52% | 62.48% | 63.13% | 63.07% | 63.05% | 62.70% | 71.77% | 69.16% | 67.23% | 65.54% | 66.32% | 64.53% | 62.27% | 59.46% |
| Operating profit margin | 14.95% | 16.08% | 16.64% | 16.32% | 15.31% | 14.92% | 14.26% | 14.32% | 15.33% | 16.27% | 16.92% | 16.76% | 14.56% | 7.36% | 5.42% | 6.64% | 8.67% | 14.67% | 15.88% | 15.38% |
| Pretax margin | 13.73% | 14.86% | 15.39% | 15.02% | 14.02% | 13.64% | 13.07% | 13.12% | 16.81% | 17.86% | 18.48% | 18.43% | 13.10% | 5.57% | 3.59% | 4.97% | 7.19% | 15.82% | 17.24% | 16.87% |
| Net profit margin | 10.40% | 11.38% | 11.70% | 11.46% | 10.80% | 10.46% | 10.09% | 10.18% | 13.03% | 14.07% | 14.47% | 14.45% | 10.43% | 4.18% | 2.87% | 3.95% | 5.56% | 12.71% | 13.81% | 13.58% |
Starbucks Corporation has shown a consistent gross profit margin range between 59.46% and 71.77% over the past several quarters, with a slight decrease from around 71.77% at the end of 2022 to about 62.79% at the end of 2024. This indicates the company's ability to generate profit after accounting for the cost of goods sold has remained relatively stable, although there has been a recent decline.
In terms of operating profit margin, Starbucks has experienced fluctuations, ranging from 5.42% to 16.92% over the same period. The operating profit margin has shown an increasing trend from around 5.42% at the end of 2020 to approximately 16.92% at the end of 2021, but has since slightly decreased to about 14.95% by the end of 2024. This implies that the company's efficiency in managing its operating expenses and generating profits has been somewhat volatile.
The pretax margin has also fluctuated for Starbucks, ranging from 3.59% to 18.48% over the analyzed time frame. There was a notable increase in the pretax margin from around 3.59% at the end of 2020 to approximately 18.48% at the end of 2021, followed by some variability and a downward trend to about 13.73% by the end of 2024. This suggests variations in the company's ability to generate profits before accounting for taxes.
Lastly, Starbucks' net profit margin has shown fluctuations between 2.87% and 14.47% over the same period. The net profit margin slightly increased from around 2.87% at the end of 2020 to approximately 14.47% at the end of 2021, but has since declined to about 10.40% by the end of 2024. This indicates changes in the company's ability to convert revenue into bottom-line profit, with recent decreases in profitability.
Overall, while Starbucks has demonstrated relatively strong profitability margins historically, recent trends suggest some variability and a slight decline in profitability ratios by the end of 2024. Continued monitoring of these ratios will be important to assess the company's financial performance and sustainability.
Return on investment
| Sep 30, 2024 | Mar 31, 2024 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 17.26% | 20.01% | 20.92% | 19.94% | 18.65% | 17.73% | 16.61% | 16.50% | 17.42% | 17.56% | 17.81% | 15.52% | 13.39% | 6.19% | 4.19% | 5.32% | 7.16% | 14.24% | 15.44% | 21.22% |
| Return on assets (ROA) | 12.00% | 14.16% | 14.71% | 14.01% | 13.17% | 12.43% | 11.75% | 11.73% | 14.80% | 15.19% | 15.24% | 13.38% | 9.59% | 3.51% | 2.22% | 3.16% | 4.59% | 12.34% | 13.43% | 18.73% |
| Return on total capital | 80.49% | 84.44% | 125.41% | 107.19% | 104.73% | 102.25% | 106.60% | 106.79% | 111.22% | 115.59% | 118.43% | 70.23% | 59.03% | 25.94% | 19.19% | 23.41% | 35.49% | 111.23% | 128.36% | 97.31% |
| Return on equity (ROE) | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
Starbucks Corporation's profitability ratios show a positive trend over the past quarters. The Operating Return on Assets (Operating ROA) has been consistently strong, with a range between 15.52% and 20.92%. This indicates that the company is efficiently generating profits from its assets used in operations.
Similarly, the Return on Assets (ROA) has also shown improvement, ranging from 9.59% to 15.24%. This ratio reveals that Starbucks is effectively utilizing its assets to generate profits for its shareholders.
The Return on Total Capital has displayed significant fluctuations, ranging from 19.19% to 125.41%. This ratio suggests that the company's overall capital structure has been generating varying levels of returns over the quarters.
Unfortunately, data regarding the Return on Equity (ROE) is not available for analysis. This ratio would have provided insights into how effectively Starbucks is utilizing shareholder equity to generate profits.
Overall, Starbucks Corporation's profitability ratios indicate strong performance in profitability metrics, specifically highlighting efficient asset utilization and the generation of returns for both shareholders and total capital employed.