Textron Inc (TXT)
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 | 74.87% | 75.18% | 74.97% | 74.53% | 92.24% | 91.98% | 91.63% | 91.20% | 91.01% | 146.17% | 149.06% | 153.94% | 156.62% | 99.54% | 75.85% | 55.79% | 35.92% | 11.29% | 13.05% | 14.98% |
| Operating profit margin | -11.08% | -9.74% | -9.65% | -10.20% | -14.15% | -14.58% | -15.48% | -16.52% | -17.07% | 38.77% | 63.96% | 91.59% | 119.37% | 99.54% | 73.82% | 51.68% | 29.66% | 27.58% | 32.37% | 33.04% |
| Pretax margin | 7.94% | 8.30% | 8.18% | 7.83% | 7.89% | 8.00% | 7.69% | 7.31% | 7.04% | 6.60% | 5.92% | 3.43% | 2.42% | 2.30% | 3.20% | 6.01% | 6.91% | 7.57% | 10.51% | 10.00% |
| Net profit margin | 6.73% | 7.07% | 6.88% | 6.66% | 6.69% | 6.71% | 6.43% | 6.14% | 6.02% | 6.09% | 5.65% | 3.66% | 2.65% | 2.26% | 3.01% | 5.16% | 5.98% | 6.46% | 9.07% | 8.79% |
Textron Inc's profitability ratios show fluctuations over the periods in consideration. The gross profit margin has been relatively stable, although at different levels, indicating the company's ability to generate revenue after accounting for the cost of goods sold. However, the operating profit margin has shown significant volatility, with negative margins in recent periods, indicating challenges in controlling operating expenses.
The pretax margin has also varied, but generally trended positively, indicating the company's ability to generate profit before accounting for taxes. The net profit margin, which represents the final profitability after all expenses including taxes, has shown fluctuations, reflecting the company's ability to efficiently manage its costs and generate earnings for its shareholders over time.
Overall, Textron Inc's profitability ratios suggest a mix of stable gross profit margin, but variable operating profit margin and net profit margin, indicating potential challenges in controlling costs and managing overall profitability. The company may need to focus on improving operational efficiency and cost management to enhance its bottom line performance.
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) | -8.99% | -7.93% | -7.70% | -8.02% | -11.18% | -11.47% | -12.15% | -12.98% | -13.36% | 32.31% | 51.87% | 69.84% | 90.06% | 75.43% | 59.85% | 43.10% | 26.91% | 24.44% | 29.07% | 31.45% |
| Return on assets (ROA) | 5.46% | 5.75% | 5.49% | 5.24% | 5.28% | 5.28% | 5.05% | 4.83% | 4.71% | 5.08% | 4.58% | 2.79% | 2.00% | 1.71% | 2.44% | 4.30% | 5.43% | 5.72% | 8.14% | 8.37% |
| Return on total capital | -29.03% | -25.75% | -18.18% | -11.34% | -2.90% | 16.77% | 16.03% | 15.17% | 14.88% | 16.40% | 14.72% | 9.49% | 7.66% | 7.73% | 10.31% | 17.49% | 20.17% | 21.66% | 29.33% | 29.52% |
| Return on equity (ROE) | 13.18% | 13.43% | 12.87% | 12.26% | 12.10% | 12.45% | 11.79% | 11.10% | 10.95% | 12.84% | 11.56% | 7.17% | 5.29% | 4.74% | 6.82% | 12.40% | 14.77% | 15.81% | 22.58% | 23.16% |
Textron Inc's profitability ratios show a mixed trend over the past few quarters.
1. Operating return on assets (Operating ROA) has been negative in recent quarters, indicating that the company is not generating operating profit efficiently relative to its total assets.
2. Return on assets (ROA) has fluctuated but generally remained positive, suggesting that Textron Inc has been able to generate profits from its assets, although the trend has been somewhat volatile.
3. Return on total capital has also shown variability, with negative figures in some quarters. This ratio reflects the company's ability to generate returns on both debt and equity capital invested in the business.
4. Return on equity (ROE) has exhibited a declining trend, indicating a decreasing profitability for shareholders' equity over time. The ratio suggests the company's ability to generate profits from shareholders' equity.
Overall, while Textron Inc has shown positive returns on assets and equity in most quarters, its operating efficiency and return on total capital have been concerning, requiring further analysis to understand the underlying issues impacting profitability.