T-Mobile US Inc (TMUS)
Profitability ratios
Return on sales
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit margin | 70.97% | 70.11% | 69.76% | 69.49% | 69.11% | 68.74% | 68.37% | 66.76% | 67.15% | 68.00% | 67.93% | 69.78% | 69.69% | 79.11% | 79.02% | 76.39% | 75.53% | 71.91% | 71.57% | 74.76% |
| Operating profit margin | 22.30% | 21.29% | 20.03% | 19.10% | 18.31% | 17.41% | 14.38% | 10.36% | 8.29% | 6.18% | 6.63% | 8.49% | 9.07% | 9.83% | 11.18% | 9.81% | 10.10% | 10.76% | 10.15% | 13.11% |
| Pretax margin | 18.22% | 17.02% | 15.81% | 14.86% | 14.12% | 13.23% | 10.11% | 6.10% | 3.98% | 1.84% | 2.16% | 4.02% | 4.41% | 5.14% | 6.45% | 5.11% | 5.86% | 6.98% | 7.08% | 10.56% |
| Net profit margin | 14.04% | 13.06% | 12.06% | 11.24% | 10.67% | 10.01% | 7.88% | 4.86% | 3.28% | 1.95% | 2.21% | 3.63% | 3.98% | 4.37% | 5.13% | 4.13% | 4.66% | 5.36% | 5.38% | 7.96% |
Based on the provided data, we can analyze the profitability ratios of T-Mobile US Inc over the given periods.
1. Gross Profit Margin:
The gross profit margin represents the percentage of revenue that exceeds the cost of goods sold. T-Mobile US Inc's gross profit margin has been relatively stable, ranging from a high of 79.11% in September 30, 2021, to a low of 67.15% in December 31, 2022.
2. Operating Profit Margin:
The operating profit margin indicates how much profit the company generates from its core operations. T-Mobile US Inc's operating profit margin fluctuated significantly, with a low of 6.18% in September 30, 2022, and a high of 22.30% in December 31, 2024, showing an improving trend towards the end of the data period.
3. Pretax Margin:
The pretax margin reflects the company's profitability before accounting for taxes. T-Mobile US Inc's pretax margin varied widely, with a low of 1.84% in September 30, 2022, and a high of 18.22% in December 31, 2024, indicating a strong performance in generating profits before tax over the period.
4. Net Profit Margin:
The net profit margin measures the percentage of revenue that translates into net income after all expenses. T-Mobile US Inc's net profit margin experienced fluctuations, with a low of 1.95% in September 30, 2022, and a high of 14.04% in December 31, 2024, reflecting an improvement in the company's ability to convert revenue into net income.
Overall, T-Mobile US Inc's profitability margins have shown variability over the periods, with some fluctuations but also periods of improvement, especially towards the end of the data timeline. Investors and analysts may continue to monitor these ratios to assess the company's financial health and performance.
Return on investment
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 8.66% | 8.02% | 7.53% | 7.21% | 6.87% | 6.49% | 5.33% | 3.87% | 3.10% | 2.28% | 2.46% | 3.11% | 3.34% | 3.73% | 4.17% | 3.56% | 3.32% | 3.20% | 2.71% | 6.63% |
| Return on assets (ROA) | 5.45% | 4.92% | 4.53% | 4.24% | 4.00% | 3.73% | 2.92% | 1.82% | 1.23% | 0.72% | 0.82% | 1.33% | 1.46% | 1.66% | 1.92% | 1.50% | 1.53% | 1.59% | 1.43% | 4.03% |
| Return on total capital | 13.25% | 26.31% | 25.07% | 23.95% | 10.48% | 20.92% | 17.06% | 6.03% | 4.80% | 3.60% | 3.78% | 4.79% | 5.06% | 5.58% | 6.39% | 5.45% | 5.22% | 5.01% | 3.95% | 13.96% |
| Return on equity (ROE) | 18.37% | 16.14% | 15.10% | 14.10% | 12.85% | 12.03% | 9.35% | 5.70% | 3.72% | 2.19% | 2.45% | 4.01% | 4.38% | 4.90% | 5.80% | 4.59% | 4.69% | 4.75% | 4.26% | 12.12% |
Based on the provided data for T-Mobile US Inc, the profitability ratios show varying trends over the quarters.
1. Operating Return on Assets (Operating ROA):
- T-Mobile's Operating ROA has fluctuated over the quarters, ranging from a low of 2.28% in September 2022 to a high of 8.66% in December 2024. The company's ability to generate operating profit from its assets improved towards the end of the period.
2. Return on Assets (ROA):
- The ROA also exhibits a mixed performance pattern, with values ranging from 0.72% in September 2022 to 5.45% in March 2021. The ROA shows improvements in profitability over the latter part of the period.
3. Return on Total Capital:
- T-Mobile's Return on Total Capital shows significant volatility, with values ranging from 3.60% in September 2022 to 26.31% in September 2024. The return on capital employed improved substantially in the later periods, indicating efficient use of both debt and equity.
4. Return on Equity (ROE):
- The ROE portrays a similar trend to the ROA, with values ranging from 2.19% in September 2022 to 18.37% in December 2024. T-Mobile's ROE demonstrates an upward trajectory, signifying enhanced profitability relative to shareholders' equity.
In conclusion, T-Mobile's profitability ratios show improvements in operational efficiency and overall profitability over the quarters, particularly in the latter periods, reflecting better utilization of assets and capital to generate returns for both the company and its shareholders. However, it's worth noting the volatility in certain ratios, indicating the need for ongoing monitoring and potentially strategic adjustments to sustain and enhance profitability.