USANA Health Sciences Inc (USNA)
Profitability ratios
Return on sales
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Gross profit margin | 80.56% | 80.33% | 81.38% | 81.35% | 82.33% |
| Operating profit margin | 10.07% | 10.74% | 14.30% | 15.51% | 13.78% |
| Pretax margin | 11.09% | 10.84% | 14.34% | 15.64% | 14.19% |
| Net profit margin | 6.90% | 6.92% | 9.79% | 10.96% | 9.48% |
USANA Health Sciences Inc's profitability ratios have shown some fluctuations over the past five years. The gross profit margin has remained relatively stable, ranging from 80.33% to 82.33%, indicating the company's efficiency in managing its production costs.
However, the operating profit margin has shown a slight decline from 15.51% in 2020 to 10.07% in 2023. This may be attributed to increasing operating expenses relative to sales revenue. Similarly, the pretax margin has also experienced fluctuations, with a decrease from 15.64% in 2020 to 11.09% in 2023. This suggests that the company's profitability before accounting for taxes has been impacted by various factors over the years.
The net profit margin, which represents the company's bottom-line profitability, has also shown a downward trend from 10.96% in 2020 to 6.90% in 2023. This indicates that after accounting for all expenses, including taxes, USANA Health Sciences Inc's profitability has decreased.
In conclusion, while USANA Health Sciences Inc has maintained a healthy gross profit margin, its operating profit margin, pretax margin, and net profit margin have declined over the past few years, suggesting potential challenges in managing expenses and sustaining profitability.
Return on investment
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 14.71% | 18.04% | 29.46% | 27.54% | 28.28% |
| Return on assets (ROA) | 10.08% | 11.63% | 20.17% | 19.45% | 19.45% |
| Return on total capital | 20.66% | 25.04% | 43.20% | 40.41% | 42.81% |
| Return on equity (ROE) | 12.83% | 15.96% | 29.49% | 28.23% | 28.58% |
USANA Health Sciences Inc's profitability ratios have shown a fluctuating trend over the past five years.
1. Operating return on assets (Operating ROA) has declined from 29.46% in 2021 to 14.71% in 2023. This ratio indicates the company's ability to generate operating income from its assets, and the decrease suggests a potential inefficiency in utilizing assets to generate operating profits.
2. Return on assets (ROA) has also shown a decrease from 20.17% in 2021 to 10.08% in 2023. ROA measures the company's overall efficiency in generating profits from its total assets, and the declining trend may signal challenges in asset utilization or profitability.
3. Return on total capital has decreased from 43.20% in 2021 to 20.66% in 2023. This ratio reflects the company's ability to generate profits from both debt and equity investments, and the decline indicates a lower return on the total invested capital.
4. Return on equity (ROE) has exhibited a similar downward trend, decreasing from 29.49% in 2021 to 12.83% in 2023. ROE assesses the company's profitability in relation to shareholders' equity, and the decreasing values suggest a reduced ability to generate profits for equity holders.
Overall, the declining profitability ratios of USANA Health Sciences Inc indicate challenges in efficiently utilizing assets and capital to generate profits and returns for both operating activities and shareholders. Further analysis and strategic adjustments may be necessary to improve the company's profitability performance in the coming years.