Tyson Foods Inc (TSN)
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 | 4.70% | 4.98% | 6.53% | 8.23% | 10.49% | 12.51% | 14.97% | 15.28% | 14.87% | 13.87% | 12.39% | 12.38% | 11.96% | 12.47% | 11.53% | 11.35% | 11.87% | 11.84% | 12.58% | 12.74% |
| Operating profit margin | -1.19% | -0.75% | 1.57% | 4.13% | 6.38% | 8.28% | 10.61% | 10.87% | 10.39% | 9.34% | 7.55% | 7.31% | 6.90% | 6.97% | 6.23% | 6.15% | 6.39% | 6.53% | 7.18% | 7.34% |
| Pretax margin | -1.80% | -1.28% | 1.04% | 3.63% | 5.90% | 7.77% | 10.13% | 10.29% | 9.74% | 8.56% | 6.63% | 6.32% | 6.10% | 6.15% | 5.37% | 5.41% | 5.42% | 5.57% | 6.36% | 6.48% |
| Net profit margin | -1.62% | -1.23% | 0.64% | 2.81% | 4.54% | 6.08% | 7.75% | 7.90% | 7.47% | 6.48% | 5.13% | 4.91% | 4.72% | 4.77% | 4.18% | 4.46% | 4.54% | 4.67% | 5.17% | 4.92% |
Tyson Foods Inc's profitability ratios show a mixed performance over the past five quarters. The gross profit margin has been declining steadily, indicating a decrease in the percentage of revenue retained after accounting for the cost of goods sold. This trend may be a concern as it suggests declining efficiency in the company's core operations.
The operating profit margin has also been on a downward trajectory, indicating decreasing profitability from its primary business activities. This decline could be a result of increasing operating expenses or pricing pressures in the industry.
The pretax margin and net profit margin have followed a similar pattern, showing a decline in profitability before and after tax considerations. This trend suggests that Tyson Foods Inc's overall profitability is diminishing, potentially due to cost management issues or lower sales volumes.
Overall, Tyson Foods Inc's profitability ratios indicate a concerning trend of declining profitability over the past few quarters. The company may need to focus on improving operational efficiency, managing costs, and identifying growth opportunities to reverse this downward trend.
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) | -1.72% | -1.09% | 2.27% | 6.03% | 9.33% | 11.98% | 15.32% | 15.55% | 13.97% | 12.11% | 9.67% | 9.17% | 8.33% | 8.73% | 7.73% | 7.94% | 8.19% | 8.41% | 8.85% | 9.25% |
| Return on assets (ROA) | -2.33% | -1.79% | 0.92% | 4.10% | 6.63% | 8.79% | 11.19% | 11.29% | 10.05% | 8.39% | 6.58% | 6.16% | 5.71% | 5.98% | 5.18% | 5.76% | 5.82% | 6.01% | 6.37% | 6.20% |
| Return on total capital | -3.32% | -2.18% | 4.44% | 11.43% | 17.43% | 22.38% | 28.69% | 29.36% | 27.96% | 24.80% | 20.83% | 19.84% | 18.90% | 19.72% | 18.07% | 18.72% | 19.31% | 19.67% | 21.61% | 22.49% |
| Return on equity (ROE) | -4.72% | -3.57% | 1.81% | 7.77% | 12.39% | 16.43% | 20.95% | 21.32% | 20.11% | 17.19% | 14.17% | 13.33% | 12.94% | 13.51% | 12.11% | 13.57% | 13.73% | 14.06% | 15.55% | 15.08% |
Over the past several quarters, Tyson Foods Inc has shown a declining trend in profitability ratios.
- Operating return on assets (Operating ROA) has seen a consistent decrease from 15.32% in June 2022 to -1.72% in December 2023, indicating a significant decline in the company's ability to generate profits from its assets through its core operations.
- Return on assets (ROA) has followed a similar downward trajectory, dropping from 11.19% in June 2022 to -2.33% in December 2023, reflecting a decrease in the overall profitability of the company relative to its total assets.
- Return on total capital has also exhibited a downward trend, with a decrease from 28.69% in June 2022 to -3.32% in December 2023, suggesting a decline in the company's ability to generate returns for both equity and debt holders.
- Return on equity (ROE) has shown a consistent decrease from 20.95% in June 2022 to -4.72% in December 2023, indicating a decreasing ability of the company to generate profits for its shareholders relative to their equity investment.
Overall, the declining profitability ratios indicate potential challenges for Tyson Foods Inc in effectively utilizing its assets and capital to generate returns for its shareholders. Investors and stakeholders may want to closely monitor the company's financial performance and management strategies to improve profitability in the coming quarters.