Viatris Inc (VTRS)
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 | 38.51% | 40.39% | 41.37% | 41.79% | 41.86% | 39.55% | 40.17% | 40.66% | 41.30% | 41.78% | 41.82% | 41.97% | 41.55% | 41.00% | 40.11% | 39.29% | 38.27% | 39.13% | 38.28% | 37.90% |
| Operating profit margin | 0.07% | 4.79% | 6.21% | 10.13% | 11.35% | 12.90% | 13.48% | 14.45% | 15.93% | 10.39% | 8.94% | 5.32% | -0.19% | -4.88% | -5.41% | -4.81% | -1.76% | 8.26% | 8.03% | 7.61% |
| Pretax margin | -4.23% | -6.34% | -4.20% | 0.55% | 1.32% | 16.34% | 16.36% | 16.51% | 17.30% | 6.82% | 5.31% | 1.72% | -3.71% | -8.59% | -9.18% | -8.67% | -6.04% | 3.71% | 3.23% | 2.58% |
| Net profit margin | -4.31% | -5.88% | -4.25% | -0.37% | 0.35% | 11.84% | 11.88% | 12.05% | 12.78% | 4.80% | 4.43% | 0.95% | -7.10% | -11.19% | -13.12% | -12.56% | -5.61% | 2.31% | 2.35% | 0.54% |
Viatris Inc's profitability ratios show fluctuations over the past few years. The gross profit margin has experienced some variability but generally improved from around 38% to 42% during the period analyzed. This indicates the company's ability to control production costs and generate more profits from sales.
The operating profit margin, on the other hand, has been quite volatile, with negative margins in some quarters. However, there has been a notable recovery, with margins increasing from negative percentages to above 10% in recent quarters. This suggests improvements in operational efficiency and cost management.
The pretax margin also fluctuated significantly, reflecting the company's ability to manage expenses and generate profits before accounting for taxes. The margin increased notably towards the end of the period from around 0% to over 17%. This indicates enhanced profitability and effective tax planning strategies.
The net profit margin, which represents the company's bottom line profitability after all expenses have been deducted, has also shown volatility. While there were periods of negative margins, there has been a recovery towards positive margins, reaching around 12% at the end of the period. This demonstrates improved overall profitability and potential operational efficiency enhancements.
In summary, despite some fluctuations, Viatris Inc has been able to improve its profitability ratios over the analyzed period, indicating potential positive trends in managing costs and driving revenue growth.
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) | 0.02% | 1.61% | 2.09% | 3.28% | 3.67% | 4.09% | 4.32% | 4.63% | 5.18% | 3.57% | 3.00% | 1.76% | -0.06% | -1.49% | -1.46% | -1.12% | -0.34% | 3.05% | 3.06% | 2.94% |
| Return on assets (ROA) | -1.53% | -1.97% | -1.43% | -0.12% | 0.11% | 3.76% | 3.81% | 3.86% | 4.16% | 1.65% | 1.49% | 0.31% | -2.31% | -3.43% | -3.53% | -2.93% | -1.09% | 0.85% | 0.90% | 0.21% |
| Return on total capital | 0.14% | 4.86% | 6.67% | 10.46% | 10.64% | 11.61% | 12.47% | 13.37% | 14.89% | 9.55% | 9.91% | 5.69% | 0.13% | 0.05% | -1.55% | 0.70% | 3.28% | 12.61% | 12.63% | 12.54% |
| Return on equity (ROE) | -3.40% | -4.46% | -3.31% | -0.28% | 0.27% | 8.78% | 8.90% | 9.10% | 9.86% | 4.19% | 3.84% | 0.82% | -6.19% | -9.09% | -9.65% | -8.07% | -2.92% | 2.12% | 2.30% | 0.56% |
Viatris Inc's profitability ratios demonstrate its ability to generate returns for its operations and capital providers.
1. Operating Return on Assets (Operating ROA): The company's Operating ROA has exhibited fluctuations over the quarters, with a positive trend in recent periods. After some negative values in the previous quarters, the ratio improved from 1.76% in March 2022 to 3.00% in June 2022, eventually reaching 4.09% in September 2023. This indicates that Viatris has been more efficient in generating profits from its operating assets.
2. Return on Assets (ROA): Viatris' ROA also experienced variability, showing negative values in multiple periods but recovering gradually. Noteworthy improvements occurred from December 2022 (4.16%) to June 2023 (3.81%), followed by a slight decline to 0.11% by December 2023. However, the ratio turned negative again by the end of the period.
3. Return on Total Capital: The Return on Total Capital ratio portrays a similar pattern of fluctuation, with a positive trend in recent quarters. Notably, there was a significant increase in the ratio from March 2022 (5.69%) to December 2022 (14.89%), indicating a more lucrative utilization of the company's total capital.
4. Return on Equity (ROE): The ROE ratio, representing the profitability for the company's equity holders, has also demonstrated variability but with notable improvements in recent quarters. The ratio increased from 0.82% in March 2022 to 8.78% in September 2023. However, it declined to -0.28% by March 2024, indicating a challenge in generating returns for equity investors.
In general, while Viatris Inc has shown improvements in profitability ratios in recent periods, there are fluctuations and periods of decline, which may warrant further analysis to understand the factors influencing the company's profitability.