Sylvamo Corp (SLVM)
Profitability ratios
Return on sales
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | |
|---|---|---|---|---|---|---|---|
| Gross profit margin | 10.53% | 10.75% | 12.23% | 16.10% | 15.93% | 15.90% | 18.31% |
| Operating profit margin | 2.65% | 2.84% | 5.06% | 8.77% | 7.43% | 7.66% | 10.84% |
| Pretax margin | 9.96% | 11.76% | 11.67% | 9.12% | 6.70% | 5.61% | 6.12% |
| Net profit margin | 6.83% | 8.15% | 7.99% | 5.10% | 3.18% | 2.29% | 3.26% |
Sylvamo Corp's profitability ratios, as reflected in the gross profit margin, operating profit margin, pretax margin, and net profit margin, have shown some fluctuations over the past five quarters. The gross profit margin has ranged from 21.18% to 27.81%, with Q4 2022 showing the highest margin at 27.81% and Q3 2023 showing the lowest at 21.18%.
The operating profit margin, a key indicator of operational efficiency, has been relatively stable, ranging from 12.07% to 15.18%. Q2 2023 had the highest margin at 13.71%, while Q4 2023 had the lowest at 12.07%.
The pretax margin, which represents the company's profitability before taxes, ranged from 9.92% to 15.40%. Q4 2023 had the lowest margin at 9.92%, while Q1 2023 had the highest at 15.40%.
Finally, the net profit margin, which measures the company's bottom line profitability, varied from 3.25% to 8.40%. Q3 2023 had the highest net profit margin at 8.40%, while Q4 2022 had the lowest at 3.25%.
Overall, Sylvamo Corp's profitability ratios have shown some volatility, with fluctuations in gross profit margin and net profit margin. It is essential for the company to analyze the reasons behind these fluctuations and take appropriate measures to ensure consistent profitability in the future.
Return on investment
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | |
|---|---|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 3.41% | 3.73% | 6.66% | 11.62% | 10.18% | 10.30% | 14.67% |
| Return on assets (ROA) | 8.81% | 10.70% | 10.52% | 6.75% | 4.35% | 3.07% | 4.41% |
| Return on total capital | 48.06% | 59.81% | 59.16% | 53.04% | 48.53% | 112.02% | 117.46% |
| Return on equity (ROE) | 28.08% | 35.65% | 34.45% | 23.92% | 17.40% | 33.33% | 48.02% |
Sylvamo Corp's profitability ratios indicate a generally positive trend over the past five quarters.
The Operating Return on Assets (Operating ROA) shows the company's ability to generate operating income relative to its total assets. The ratio has been relatively stable, ranging from 15.63% to 19.78%. This suggests that the company is efficiently utilizing its assets to generate operating profit.
The Return on Assets (ROA) measures the overall profitability of the company relative to its total assets. The trend indicates an improvement from 4.35% to 10.70%, with some fluctuations in between. This improvement suggests that the company is becoming more efficient in generating profits from its asset base.
The Return on Total Capital ratio signifies the overall return generated by the company with respect to its total capital employed. The trend shows a decline from 31.35% to 23.49% but then a slight increase back to 24.14%. This could indicate changes in the company's capital structure or fluctuations in profitability over the quarters.
Lastly, the Return on Equity (ROE) measures the return earned on the shareholders' equity investment in the company. The ratio has shown a positive trend, increasing from 17.40% to 35.65%. This indicates that the company is effectively using equity to generate profits for its shareholders.
Overall, Sylvamo Corp's profitability ratios illustrate a mix of stability and improvement in profitability metrics over the past five quarters, indicating effective management of assets, capital, and equity to generate returns for its stakeholders.