Sensient Technologies Corporation (SXT)
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 | 8.65% | 11.36% | 11.75% | 29.03% | 45.81% | 62.16% | 79.24% | 77.83% | 78.01% | 77.17% | 77.09% | 78.94% | 78.25% | 59.51% | 59.35% | 59.47% | 60.22% | -23.96% | -21.80% | -20.05% |
| Operating profit margin | 10.84% | 13.14% | 13.35% | 13.59% | 13.83% | 13.84% | 13.96% | 12.90% | 12.43% | 12.08% | 11.84% | 12.43% | 11.59% | 7.95% | 7.82% | 8.13% | 9.30% | 13.82% | 14.43% | 14.53% |
| Pretax margin | 9.08% | 11.50% | 11.89% | 12.37% | 12.81% | 12.95% | 13.11% | 12.01% | 11.52% | 11.11% | 10.82% | 11.38% | 10.47% | 6.72% | 6.47% | 6.67% | 7.75% | 12.23% | 12.83% | 12.93% |
| Net profit margin | 6.53% | 8.96% | 9.28% | 9.59% | 9.90% | 9.81% | 9.78% | 9.10% | 8.68% | 8.57% | 8.63% | 9.07% | 8.31% | 5.18% | 5.13% | 5.36% | 6.30% | 10.08% | 11.04% | 11.20% |
Sensient Technologies Corp. has displayed a declining trend in its profitability ratios over the past year. The gross profit margin has decreased from 34.04% in Q4 2022 to 31.60% in Q4 2023, indicating a decrease in the percentage of sales revenue remaining after deducting the cost of goods sold. This trend may be a cause for concern as it suggests a potential decrease in the company's pricing power or an increase in production costs.
Similarly, the operating profit margin has also shown a downward trend, decreasing from 13.69% in Q4 2022 to 10.64% in Q4 2023. This ratio reflects the company's ability to control its operating expenses relative to its revenue, and the decline may signal inefficiencies in cost management or operational challenges faced by the company.
The pretax margin, which represents the percentage of revenue remaining after deducting all operating expenses and before taxes, has also decreased from 12.68% in Q4 2022 to 8.92% in Q4 2023. This decline suggests that the company's profitability before tax has weakened over the period under review, indicating potential pressure on the company's financial performance.
Lastly, the net profit margin, which indicates the company's bottom line profitability after all expenses and taxes have been deducted, has shown a declining trend from 9.80% in Q4 2022 to 6.41% in Q4 2023. This ratio highlights the company's overall ability to generate profits from its operations, and the decreasing trend may indicate challenges in maintaining profitability or growing earnings in the current business environment.
Overall, Sensient Technologies Corp.'s profitability ratios have shown a consistent downward trajectory over the past year, signaling potential challenges in maintaining profitability and efficiency in the company's operations.
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) | 7.70% | 9.36% | 9.34% | 9.63% | 9.93% | 10.65% | 10.84% | 9.84% | 9.74% | 9.51% | 9.34% | 9.59% | 8.77% | 6.03% | 6.04% | 6.28% | 6.96% | 10.17% | 10.53% | 10.71% |
| Return on assets (ROA) | 4.64% | 6.38% | 6.49% | 6.80% | 7.11% | 7.56% | 7.59% | 6.94% | 6.80% | 6.75% | 6.81% | 6.99% | 6.29% | 3.93% | 3.96% | 4.14% | 4.71% | 7.41% | 8.06% | 8.26% |
| Return on total capital | 9.13% | 11.03% | 10.98% | 11.41% | 12.07% | 13.05% | 13.41% | 11.79% | 11.80% | 11.50% | 11.11% | 11.38% | 10.51% | 7.21% | 7.22% | 7.42% | 8.18% | 11.95% | 12.37% | 12.58% |
| Return on equity (ROE) | 8.87% | 12.14% | 12.60% | 13.37% | 14.09% | 14.56% | 14.27% | 12.91% | 12.65% | 12.42% | 12.25% | 13.00% | 11.72% | 7.51% | 7.70% | 8.31% | 9.31% | 14.71% | 16.40% | 17.31% |
Sensient Technologies Corp.'s profitability ratios show a consistent trend of positive performance over the past eight quarters. Starting with the operating return on assets (Operating ROA), the company has maintained a steady level of profitability, ranging from 7.70% to 10.84%. This ratio indicates the company's ability to generate operating income relative to its total assets, with the latest figure being 7.70%.
Moving on to the return on assets (ROA), which reflects the company's overall profitability in relation to its total assets, there is a similar pattern of steady performance, ranging from 4.64% to 7.59%. The most recent quarter's ROA stands at 4.64%, indicating the company's ability to generate profits from its assets.
The return on total capital, which measures the return generated on both equity and debt capital invested in the business, also demonstrates a positive trend for Sensient Technologies Corp. This ratio has ranged from 9.06% to 13.17% over the past eight quarters, with the latest figure standing at 9.06%.
Lastly, the return on equity (ROE) reflects the profitability of the company from the perspective of its shareholders. Sensient Technologies Corp. has consistently delivered strong returns to its equity holders, with ROE ranging from 8.87% to 14.56% over the analyzed period. The most recent quarter's ROE is reported at 8.87%, indicating the company's ability to generate profits for its shareholders.
Overall, Sensient Technologies Corp. has demonstrated consistent profitability across these key metrics, indicating efficient utilization of its assets and capital to generate returns for its stakeholders.