Tesla Inc (TSLA)
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 | 17.86% | 18.23% | 17.72% | 17.78% | 18.25% | 19.81% | 21.49% | 23.13% | 25.60% | 26.61% | 27.10% | 27.10% | 25.28% | 23.11% | 22.04% | 21.18% | 21.02% | 21.14% | 19.77% | 18.20% |
| Operating profit margin | 7.24% | 7.78% | 6.93% | 7.81% | 9.19% | 11.18% | 13.46% | 14.78% | 16.76% | 16.52% | 15.91% | 15.33% | 12.12% | 9.57% | 7.86% | 6.41% | 6.32% | 6.31% | 4.78% | 2.83% |
| Pretax margin | 9.14% | 8.60% | 7.98% | 9.25% | 10.33% | 12.28% | 14.21% | 14.88% | 16.80% | 16.48% | 15.75% | 15.07% | 11.55% | 8.45% | 6.29% | 4.18% | 3.21% | 2.86% | 1.79% | -0.21% |
| Net profit margin | 7.26% | 13.07% | 13.00% | 14.37% | 15.50% | 11.21% | 12.97% | 13.66% | 15.41% | 14.95% | 14.17% | 13.51% | 10.25% | 7.40% | 5.21% | 3.18% | 2.29% | 1.97% | 1.43% | -0.55% |
Tesla Inc's profitability ratios have shown varying trends over the past few years.
1. Gross Profit Margin: The gross profit margin has fluctuated but generally increased from March 31, 2020, to June 30, 2022, reaching a peak of 27.10%. However, it decreased slightly to 17.86% by December 31, 2024, indicating a decline in the company's ability to generate profit from its core operations.
2. Operating Profit Margin: The operating profit margin also followed an increasing trend until December 31, 2022, reaching 16.76%. However, it started declining thereafter, dropping to 7.24% by December 31, 2024. This suggests that Tesla's operating efficiency and cost management may have deteriorated in recent quarters.
3. Pretax Margin: The pretax margin demonstrates the company's ability to generate profit before accounting for taxes. It increased steadily until December 31, 2022, peaking at 16.80%. However, it dropped to 9.14% by December 31, 2024, signaling a decrease in profitability at the pre-tax level.
4. Net Profit Margin: The net profit margin represents the proportion of revenue that translates into net income. Tesla's net profit margin increased significantly from March 31, 2020, to March 31, 2023, reaching 15.50%. However, it dropped to 7.26% by December 31, 2024, indicating a substantial decline in the company's bottom-line profitability.
Overall, while Tesla Inc's profitability ratios have shown positive trends in earlier periods, there have been declines in recent quarters. This may be a cause for concern and should be further investigated to understand the factors impacting the company's 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) | 5.80% | 6.31% | 5.85% | 6.77% | 8.34% | 11.42% | 13.97% | 14.65% | 16.59% | 16.62% | 15.59% | 14.43% | 10.50% | 7.75% | 5.97% | 4.35% | 3.82% | 3.89% | 3.23% | 1.98% |
| Return on assets (ROA) | 5.81% | 10.60% | 10.98% | 12.46% | 14.07% | 11.45% | 13.46% | 13.53% | 15.25% | 15.04% | 13.89% | 12.72% | 8.88% | 6.00% | 3.95% | 2.16% | 1.38% | 1.22% | 0.96% | -0.39% |
| Return on total capital | 10.80% | 12.19% | 11.83% | 13.92% | 16.21% | 22.28% | 26.41% | 26.96% | 31.05% | 31.53% | 29.92% | 28.48% | 21.83% | 16.65% | 12.97% | 9.47% | 7.92% | 9.23% | 11.70% | 6.99% |
| Return on equity (ROE) | 9.73% | 18.16% | 18.64% | 21.15% | 23.94% | 20.12% | 23.85% | 24.45% | 28.09% | 28.08% | 26.16% | 24.64% | 18.28% | 12.82% | 8.79% | 4.97% | 3.24% | 3.47% | 3.73% | -1.57% |
Based on the provided data, Tesla Inc's profitability ratios show significant fluctuations over the given period.
1. Operating Return on Assets (Operating ROA) steadily increased from 1.98% in March 2020 to a peak of 16.62% in September 2022, indicating that the company became more efficient in generating operating profits from its assets. However, there was a slight decline to 5.80% by December 2024.
2. Return on Assets (ROA) displayed a volatile trend, starting at -0.39% in March 2020, turning positive and reaching a high of 15.25% in December 2022, before decreasing to 5.81% by December 2024.
3. Return on Total Capital followed a similar pattern, with a gradual increase from 6.99% in March 2020 to a peak of 31.53% in September 2022, then declining to 10.80% by December 2024.
4. Return on Equity (ROE) also showed fluctuations, starting at -1.57% in March 2020, reaching a peak of 28.09% in December 2022, and declining to 9.73% by December 2024.
Overall, the profitability ratios of Tesla Inc demonstrate a mix of improvements and declines over the analyzed period, reflecting the company's performance in generating profits relative to its assets, capital, and equity. Investors and stakeholders may need to consider these trends and ratios comprehensively when evaluating the company's financial health and future prospects.