STAAR Surgical Company (STAA)
Profitability ratios
Return on sales
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Gross profit margin | 78.36% | 78.55% | 77.51% | 72.41% | 74.54% |
| Operating profit margin | 8.71% | 15.40% | 14.47% | 4.14% | 7.89% |
| Pretax margin | 10.45% | 16.02% | 13.58% | 5.06% | 8.67% |
| Net profit margin | 6.62% | 13.95% | 10.63% | 3.62% | 9.35% |
STAAR Surgical Company's profitability ratios have fluctuated over the past five years. The gross profit margin has remained relatively stable, ranging from 72.41% in 2020 to 78.55% in 2022. This indicates the company's ability to effectively manage its production costs and generate profit from its sales.
On the other hand, the operating profit margin has shown more variability, with a significant increase from 4.14% in 2020 to 15.40% in 2022, before dropping to 8.71% in 2023. This could suggest fluctuations in operating expenses and efficiency in managing day-to-day operations.
The pretax margin has also been inconsistent, with the highest point at 16.02% in 2022 and the lowest at 5.06% in 2020. This margin reflects the company's ability to control expenses, interest payments, and taxes relative to its sales.
Lastly, the net profit margin, which represents the bottom line profitability after all expenses have been deducted, has shown similar fluctuations over the years. The highest net profit margin was recorded in 2019 at 9.35%, whereas the lowest was in 2020 at 3.62%.
In conclusion, while the gross profit margin has been stable, the operating, pretax, and net profit margins have shown variability, indicating changing levels of operational efficiency and expense management for STAAR Surgical Company.
Return on investment
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 5.75% | 10.46% | 9.64% | 2.63% | 5.71% |
| Return on assets (ROA) | 4.37% | 9.47% | 7.09% | 2.30% | 6.77% |
| Return on total capital | 7.28% | 13.03% | 12.75% | 3.43% | 7.41% |
| Return on equity (ROE) | 5.53% | 11.80% | 9.37% | 3.00% | 8.79% |
STAAR Surgical Company's profitability ratios have shown some fluctuations over the past five years.
Operating return on assets (Operating ROA) has been on a declining trend, from 10.46% in 2022 to 5.75% in 2023. This ratio indicates that the company's operating income generated from its total assets has decreased over the years.
Return on assets (ROA) has also varied, with a significant increase in 2022 to 9.47%, followed by a dip to 4.37% in 2023. This ratio reflects the company's overall profitability in relation to its total assets, showing mixed performance.
Return on total capital has been somewhat volatile, with a peak of 13.03% in 2022 and a decrease to 7.28% in 2023. This metric reveals the company's ability to generate profits from both debt and equity investments.
Return on equity (ROE) has seen fluctuations as well, reaching a high of 11.80% in 2022 and dropping to 5.53% in 2023. This ratio measures the profitability of the company from the perspective of its shareholders.
Overall, the profitability ratios of STAAR Surgical Company indicate a mixed performance, with some ratios improving in certain years while declining in others. It is essential for stakeholders to closely monitor these metrics to assess the company's financial health and sustainability.