Tractor Supply Company (TSCO)
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 | 34.06% | 34.08% | 34.71% | 35.32% | 35.92% | 35.56% | 35.32% | 34.55% | 34.42% | 34.37% | 34.42% | 35.10% | 35.17% | 35.41% | 35.48% | 35.66% | 35.42% | 35.31% | 34.95% | 34.37% |
| Operating profit margin | 9.86% | 10.04% | 10.19% | 10.22% | 10.16% | 10.09% | 9.95% | 9.91% | 10.10% | 10.13% | 10.25% | 10.19% | 10.26% | 9.75% | 9.71% | 9.73% | 9.39% | 10.10% | 9.80% | 8.86% |
| Pretax margin | 9.49% | 9.71% | 9.89% | 9.91% | 9.84% | 9.79% | 9.67% | 9.66% | 9.89% | 9.93% | 10.05% | 9.98% | 10.05% | 9.52% | 9.46% | 9.46% | 9.12% | 9.84% | 9.55% | 8.63% |
| Net profit margin | 7.40% | 7.53% | 7.65% | 7.66% | 7.61% | 7.58% | 7.52% | 7.49% | 7.66% | 7.69% | 7.76% | 7.74% | 7.83% | 7.42% | 7.39% | 7.39% | 7.05% | 7.62% | 7.40% | 6.71% |
Tractor Supply Company's profitability ratios have shown some fluctuations over the past few years. The gross profit margin has been relatively stable, hovering around the mid-30% range, indicating the company's ability to generate profits after accounting for the cost of goods sold.
In terms of operating profit margin, there has been some variability, with the margin ranging from around 9% to 10%, reflecting the company's efficiency in controlling operating expenses to generate profits from its core business activities.
The pretax margin, which represents the company's profitability before accounting for taxes, has also shown some fluctuations, varying between 9% and 10%, indicating the company's ability to generate profits before tax expenses.
The net profit margin, which reflects the company's bottom line profitability after taxes, has generally been in the range of 7% to 8%, showing the company's ability to convert revenues into net profits after all expenses are considered.
Overall, while Tractor Supply Company has maintained decent profitability margins, there have been some ups and downs in the various profitability ratios, suggesting the need for continued monitoring and potential strategic adjustments to enhance overall profitability.
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) | 14.97% | 15.19% | 15.33% | 15.67% | 16.10% | 16.34% | 16.27% | 16.22% | 16.90% | 17.30% | 17.28% | 17.18% | 16.82% | 15.47% | 15.00% | 15.15% | 14.14% | 14.62% | 13.80% | 12.53% |
| Return on assets (ROA) | 11.23% | 11.39% | 11.51% | 11.75% | 12.05% | 12.28% | 12.28% | 12.26% | 12.82% | 13.13% | 13.08% | 13.05% | 12.84% | 11.77% | 11.42% | 11.50% | 10.62% | 11.04% | 10.42% | 9.48% |
| Return on total capital | 64.64% | 64.81% | 65.05% | 70.51% | 68.79% | 71.24% | 70.40% | 74.96% | 70.26% | 70.51% | 71.04% | 73.77% | 65.25% | 59.29% | 58.23% | 60.19% | 51.82% | 53.46% | 53.81% | 55.58% |
| Return on equity (ROE) | 48.51% | 48.62% | 48.85% | 52.84% | 51.50% | 53.53% | 53.15% | 56.65% | 53.31% | 53.53% | 53.79% | 56.03% | 49.79% | 45.12% | 44.33% | 45.70% | 38.93% | 40.37% | 40.62% | 42.05% |
Tractor Supply Company's profitability ratios show a generally positive trend over the analyzed period.
- Operating Return on Assets (Operating ROA): The Operating ROA has been improving steadily, starting at 12.53% in March 2020 and reaching 17.30% by September 2022, before slightly declining to 16.10% by December 2023. This ratio indicates the company's ability to generate operating income from its assets.
- Return on Assets (ROA): Similarly, the ROA has also shown an upward trend, starting at 9.48% in March 2020 and reaching 11.51% by March 2021. The ratio peaked at 13.13% in September 2022 before declining to 11.23% by December 2024. ROA measures the company's overall profitability in relation to its total assets.
- Return on Total Capital: The Return on Total Capital has been fluctuating but generally increasing, from 55.58% in March 2020 to 73.77% in March 2022. However, there was a decline to 64.64% by December 2024. This ratio reflects the company's efficiency in generating returns from both equity and debt capital.
- Return on Equity (ROE): The ROE also demonstrates a positive trajectory, starting at 42.05% in March 2020 and reaching a peak of 56.65% in March 2023. The ratio then decreased to 48.51% by December 2024. ROE indicates how well the company is utilizing shareholder equity to generate profits.
Overall, Tractor Supply Company has shown improvements in its profitability ratios over the analyzed period, reflecting effective asset utilization, capital efficiency, and strong returns for equity holders.