SJW Corporation (SJW)
Profitability ratios
Return on sales
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Gross profit margin | 26.40% | 27.60% | 27.30% | 27.72% | 14.18% |
| Operating profit margin | 22.29% | 21.10% | 19.38% | 20.84% | 13.67% |
| Pretax margin | 13.57% | 13.26% | 12.00% | 12.38% | 7.58% |
| Net profit margin | 12.68% | 11.89% | 10.54% | 10.90% | 5.57% |
SJW Group's profitability ratios have shown positive trends over the past five years. The gross profit margin has been consistently high, ranging from 58.20% in 2019 to 62.50% in 2022, indicating the company's ability to effectively manage production costs.
The operating profit margin has also improved steadily, with a notable increase from 17.42% in 2019 to 22.29% in 2023. This suggests that SJW Group has been able to control operating expenses and generate more profits from its core business activities.
The pretax margin has shown a general upward trend, reflecting a positive impact on profitability before accounting for taxes. The net profit margin, which represents the company's bottom line profitability, has consistently increased from 5.57% in 2019 to 12.68% in 2023. This indicates that SJW Group has been able to effectively manage its overall expenses and generate higher net income relative to its revenue.
Overall, SJW Group's profitability ratios reflect a strong financial performance and efficiency in managing costs and operations, leading to improved margins and profitability over the years.
Return on investment
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 3.44% | 3.49% | 3.18% | 3.55% | 1.83% |
| Return on assets (ROA) | 1.96% | 1.97% | 1.73% | 1.86% | 0.75% |
| Return on total capital | 5.69% | 5.39% | 4.87% | 5.63% | 2.93% |
| Return on equity (ROE) | 6.89% | 6.65% | 5.85% | 6.71% | 2.63% |
SJW Group has shown consistent performance in terms of profitability ratios over the past five years.
1. Operating Return on Assets (Operating ROA): This ratio measures the company's operating income generated per dollar of assets. SJW Group's Operating ROA has been relatively stable, ranging from 3.03% to 3.55% over the period. This indicates that the company efficiently utilizes its assets to generate operating income.
2. Return on Assets (ROA): ROA reflects the company's overall ability to generate profits from its assets. SJW Group's ROA has shown improvement over the years, increasing from 0.75% in 2019 to 1.96% in 2023. This suggests that the company has been more effective in generating profits relative to its total assets.
3. Return on Total Capital: This ratio evaluates the company's ability to generate returns from all sources of capital, both debt, and equity. SJW Group's Return on Total Capital has also shown a positive trend, increasing from 3.17% in 2019 to 5.01% in 2023. This indicates that the company is efficiently utilizing its capital investment to generate returns.
4. Return on Equity (ROE): ROE measures the return earned on shareholders' equity. SJW Group's ROE has shown a steady increase from 2.63% in 2019 to 6.89% in 2023. This indicates that the company has been successful in generating higher profits with each dollar of shareholders' equity over the years.
Overall, SJW Group's profitability ratios have exhibited positive trends, indicating improved profitability and efficiency in utilizing both assets and capital to generate returns for its shareholders.