Sonoco Products Company (SON)
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 | 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 | Jun 30, 2019 | Mar 31, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit margin | 21.03% | 20.21% | 19.73% | 19.54% | 19.45% | 19.45% | 19.15% | 18.82% | 18.57% | 19.09% | 19.46% | 19.62% | 19.56% | 19.22% | 19.23% | 19.31% | 19.22% | 19.15% | 19.00% | 18.94% |
| Operating profit margin | 10.49% | 10.14% | 10.14% | 9.97% | 9.13% | 9.14% | 8.94% | 8.72% | 8.51% | 7.11% | 6.89% | 6.46% | 6.69% | 7.97% | 8.50% | 8.80% | 8.49% | 8.62% | 7.93% | 7.94% |
| Pretax margin | 9.15% | 8.88% | 8.50% | 8.53% | 7.90% | 8.05% | 7.93% | -1.61% | -2.67% | -4.45% | -5.10% | 4.63% | 4.87% | 6.22% | 6.83% | 7.25% | 7.00% | 7.28% | 6.77% | 6.92% |
| Net profit margin | 6.96% | 7.04% | 6.73% | 6.77% | 6.30% | 6.08% | 6.33% | -0.69% | -1.49% | -2.89% | -3.45% | 3.70% | 3.88% | 4.98% | 5.10% | 5.47% | 5.30% | 5.83% | 5.47% | 5.59% |
Sonoco Products Co.'s profitability ratios have shown a positive trend over the past eight quarters. The gross profit margin has improved steadily from 19.23% in Q1 2022 to 21.17% in Q4 2023, indicating efficiency in managing production costs and pricing strategies.
The operating profit margin has also displayed a consistent uptrend, increasing from 9.19% in Q1 2022 to 10.23% in Q4 2023. This demonstrates the company's ability to control operating expenses and enhance operational efficiency.
The pretax margin has shown fluctuations but generally has been positive, with the highest value of 9.22% in Q4 2023. This ratio reflects Sonoco's ability to generate profits before accounting for taxes, although some volatility suggests potential variability in income or expenses.
The net profit margin has gradually improved from -0.71% in Q1 2022 to 7.00% in Q4 2023. This indicates that Sonoco has been successful in managing all costs, including taxes and interest, to generate net income efficiently.
Overall, Sonoco Products Co. has shown improving profitability ratios over the past eight quarters, signaling effective cost management and revenue generation strategies that have positively impacted the company's financial performance.
Return on investment
| 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 | Jun 30, 2019 | Mar 31, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 9.95% | 9.73% | 10.30% | 10.42% | 9.58% | 9.36% | 8.55% | 7.70% | 9.60% | 8.11% | 7.60% | 6.59% | 6.78% | 7.33% | 7.92% | 9.58% | 9.11% | 9.61% | 8.94% | 8.99% |
| Return on assets (ROA) | 6.60% | 6.75% | 6.84% | 7.07% | 6.61% | 6.23% | 6.06% | -0.61% | -1.68% | -3.29% | -3.80% | 3.77% | 3.93% | 4.58% | 4.75% | 5.96% | 5.69% | 6.51% | 6.17% | 6.34% |
| Return on total capital | 13.94% | 13.55% | 14.66% | 15.15% | 14.35% | 14.18% | 12.93% | -0.70% | -2.93% | -5.91% | -6.86% | 10.36% | 10.67% | 11.48% | 12.73% | 15.80% | 15.08% | 15.59% | 14.61% | 15.17% |
| Return on equity (ROE) | 19.59% | 21.05% | 21.04% | 22.72% | 22.58% | 22.52% | 21.94% | -2.22% | -4.65% | -8.77% | -10.49% | 10.48% | 10.92% | 14.11% | 15.17% | 17.12% | 16.19% | 17.62% | 16.57% | 17.51% |
Sonoco Products Co. has maintained relatively stable and favorable profitability ratios over the past eight quarters. The company's Operating Return on Assets (Operating ROA) ranged from a low of 7.94% in Q1 2022 to a high of 10.44% in Q1 2023, indicating effective management in generating operating profits relative to its total assets. The Return on Assets (ROA) also showed consistent improvement over the quarters, reaching a high of 7.07% in Q1 2023, demonstrating the company's ability to generate profits from its assets.
Furthermore, Sonoco Products Co.'s Return on Total Capital remained strong, fluctuating between 12.65% and 14.12% over the same period. This ratio reflects the company's proficiency in utilizing its total capital efficiently to generate returns for its stakeholders.
The Return on Equity (ROE) of Sonoco Products Co. also exhibited a positive trend, with Q1 2023 recording the highest ROE of 22.72%. This indicates that the company has been successful in delivering value to its shareholders by generating higher returns on their equity investments.
Overall, based on the profitability ratios, Sonoco Products Co. appears to be effectively managing its assets, capital, and equity to generate profits and increase shareholder value consistently over the quarters.