AT&T Inc (T)
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 | 77.21% | 77.08% | 65.61% | 65.30% | 69.88% | 69.82% | 74.82% | 79.80% | 79.87% | 72.54% | 67.61% | 60.73% | 57.21% | 68.04% | 68.18% | 69.88% | 43.69% | 44.06% | 44.41% | 43.81% |
| Operating profit margin | 19.16% | -2.38% | -2.20% | -3.40% | -3.80% | 17.76% | 17.76% | 18.96% | 19.32% | 10.19% | 9.26% | 5.93% | 5.85% | 13.00% | 13.84% | 15.75% | 15.43% | 15.79% | 15.35% | 15.28% |
| Pretax margin | 15.21% | -6.17% | -4.30% | -4.50% | -3.93% | 20.61% | 20.62% | 17.34% | 19.09% | 3.24% | 0.20% | -0.18% | -2.80% | 8.41% | 8.90% | 10.15% | 9.60% | 10.99% | 11.72% | 13.16% |
| Net profit margin | 11.76% | -9.29% | -7.22% | -7.52% | -7.06% | 16.63% | 16.36% | 13.56% | 14.98% | 0.96% | -1.49% | -1.64% | -3.62% | 6.42% | 6.84% | 8.05% | 7.67% | 8.97% | 9.47% | 10.59% |
AT&T's profitability ratios exhibit fluctuations over the past eight quarters. The gross profit margin ranges between 57.89% and 60.34%, showing a consistent performance in maintaining profitability on sales after deducting the cost of goods sold. The operating profit margin fluctuates, with the highest of 21.48% in Q3 2023 and the lowest of 16.09% in Q1 2022, indicating efficiency in controlling operating expenses to generate profits.
The pretax margin shows significant variability, from a positive 19.15% in Q3 2022 to a negative -5.56% in Q3 2023, revealing fluctuations in the company's ability to generate profits before taxes. Lastly, the net profit margin also exhibits inconsistency, with a positive 14.30% in Q3 2022 and a negative -10.16% in Q3 2023, reflecting the variability in AT&T's ability to translate revenues into bottom-line profits after accounting for all expenses and taxes.
Overall, while AT&T generally maintains a healthy gross profit margin, its operating, pretax, and net profit margins show more significant fluctuations, indicating challenges in sustaining profitability levels across quarters.
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) | 5.76% | -0.71% | -0.65% | -1.03% | -1.14% | 5.02% | 5.07% | 4.20% | 4.69% | 2.23% | 2.23% | 1.48% | 1.59% | 4.17% | 4.42% | 5.17% | 5.07% | 5.25% | 5.15% | 4.95% |
| Return on assets (ROA) | 3.54% | -2.78% | -2.15% | -2.27% | -2.12% | 4.70% | 4.67% | 3.00% | 3.64% | 0.21% | -0.36% | -0.41% | -0.98% | 2.06% | 2.19% | 2.64% | 2.52% | 2.98% | 3.18% | 3.43% |
| Return on total capital | 24.52% | -0.94% | 1.05% | 0.74% | 1.40% | 25.33% | 26.75% | 16.97% | 19.45% | 6.55% | 4.58% | 4.43% | 2.30% | 12.88% | 13.52% | 14.90% | 14.01% | 15.58% | 16.26% | 17.12% |
| Return on equity (ROE) | 13.94% | -10.90% | -8.61% | -9.16% | -8.74% | 16.37% | 16.92% | 10.26% | 12.07% | 0.71% | -1.20% | -1.35% | -3.20% | 6.32% | 6.81% | 8.11% | 7.55% | 8.94% | 9.44% | 10.16% |
AT&T, Inc.'s profitability ratios exhibit fluctuating performance over the past eight quarters.
- Operating return on assets (Operating ROA) has shown a general upward trend, indicating that the company's operating income generated from its assets has been gradually improving.
- Return on assets (ROA) has been volatile, with negative values in some quarters, suggesting that the company's net income relative to its total assets has been inconsistent.
- Return on total capital has been relatively stable, hovering around the 10% mark, indicating that AT&T has been able to generate a consistent return on its total invested capital.
- Return on equity (ROE) has shown significant variability, with both positive and negative values. The negative ROE values in certain periods are concerning as they indicate a potential inability to generate shareholder value through earnings.
Overall, while AT&T has shown improvements in its operating profitability, its overall profitability metrics like ROA and ROE have been inconsistent, which may raise concerns about the company's ability to achieve sustained profitability. Continued monitoring of these ratios is important to assess AT&T's financial health and performance.