Union Pacific Corporation (UNP)
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 | 56.04% | 56.38% | 56.34% | 56.42% | 56.37% | 56.39% | 57.63% | 59.08% | 59.74% | 78.70% | 79.30% | 79.79% | 79.66% | 79.73% | 78.69% | 77.45% | 76.57% | 77.14% | 76.35% | 75.68% |
| Operating profit margin | 39.16% | 38.86% | 39.70% | 40.47% | 41.40% | 44.13% | 44.81% | 45.65% | 45.01% | 41.98% | 41.35% | 39.80% | 40.11% | 40.44% | 40.25% | 40.54% | 39.40% | 38.93% | 38.38% | 37.54% |
| Pretax margin | 35.50% | 35.16% | 36.25% | 37.44% | 37.87% | 40.51% | 40.78% | 41.51% | 40.87% | 37.92% | 37.13% | 35.31% | 35.73% | 36.04% | 36.20% | 36.54% | 35.69% | 35.43% | 35.03% | 34.39% |
| Net profit margin | 27.50% | 27.22% | 28.01% | 28.80% | 29.21% | 31.38% | 31.50% | 31.99% | 31.44% | 29.19% | 28.60% | 27.02% | 27.38% | 27.40% | 27.54% | 27.85% | 27.27% | 27.28% | 26.95% | 26.59% |
Union Pacific Corp. has consistently maintained a strong gross profit margin of 100% across all quarters, indicating efficient cost management and pricing strategies. However, there has been a slight downward trend in the operating profit margin, which decreased from 42.90% in Q1 2022 to 37.65% in Q4 2023. This may suggest increasing operating expenses relative to revenue over time.
Similarly, the pretax margin has also shown a decreasing trend, as it decreased from 39.01% in Q1 2022 to 34.13% in Q4 2023. This indicates that despite strong operational performance, the company's profitability before taxes has been declining.
The net profit margin, representing the company's bottom line profitability, has also exhibited a decreasing trend over the periods, decreasing from 30.06% in Q1 2022 to 26.45% in Q4 2023. This implies that Union Pacific Corp. may be experiencing challenges in managing expenses and generating profits after accounting for all costs and taxes.
Overall, while Union Pacific Corp. has shown strong gross profit margins, there are indications of declining profitability in terms of operating, pretax, and net profit margins over the quarters, pointing towards potential challenges in sustaining or improving overall profitability in the future.
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) | 13.53% | 13.66% | 14.45% | 14.91% | 15.15% | 15.22% | 15.12% | 15.18% | 14.70% | 14.28% | 13.70% | 12.44% | 12.55% | 12.44% | 12.79% | 14.04% | 13.87% | 13.98% | 14.10% | 13.92% |
| Return on assets (ROA) | 9.50% | 9.57% | 10.19% | 10.61% | 10.69% | 10.82% | 10.63% | 10.64% | 10.27% | 9.93% | 9.48% | 8.44% | 8.57% | 8.43% | 8.75% | 9.65% | 9.60% | 9.79% | 9.90% | 9.86% |
| Return on total capital | 64.73% | 68.28% | 76.06% | 83.48% | 85.04% | 88.24% | 79.27% | 84.18% | 68.04% | 65.99% | 61.40% | 49.03% | 47.89% | 47.71% | 51.20% | 56.01% | 48.53% | 49.38% | 49.13% | 49.32% |
| Return on equity (ROE) | 43.14% | 45.45% | 51.02% | 56.19% | 57.54% | 60.21% | 53.89% | 57.26% | 46.06% | 44.49% | 41.12% | 32.09% | 31.54% | 31.23% | 33.82% | 37.53% | 32.65% | 33.69% | 33.61% | 34.08% |
Based on the data provided, Union Pacific Corp. demonstrates consistent profitability trends across its profitability ratios. The Operating Return on Assets (Operating ROA) has remained relatively stable, ranging from 13.53% to 15.22% over the past eight quarters. This ratio indicates the company's ability to generate operating income from its assets.
The Return on Assets (ROA) has also shown stability, ranging from 9.50% to 10.69% over the same period. ROA reflects the overall profitability of the company's assets and shows how efficiently Union Pacific is utilizing its assets to generate profits.
The Return on Total Capital has seen a similar trend, ranging from 19.17% to 22.03%. This ratio highlights how effectively the company is generating returns from both debt and equity investments.
The Return on Equity (ROE) shows a consistently strong performance, ranging from 43.14% to 60.21%. This demonstrates the company's ability to generate profits from shareholder equity, indicating strong financial performance and efficient use of investor funds.
Overall, Union Pacific Corp. maintains a solid track record of profitability, as evidenced by its stable and robust profitability ratios across the quarters analyzed.
See also:
Union Pacific Corporation Profitability Ratios (Quarterly Data)