NCR Voyix Corporation (VYX)
Profitability ratios
Return on sales
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Gross profit margin | 20.49% | 25.12% | 23.69% | 26.45% | 24.55% |
| Operating profit margin | -1.31% | 0.97% | 6.23% | 6.62% | 3.56% |
| Pretax margin | -7.04% | -9.97% | 2.69% | 3.97% | -0.95% |
| Net profit margin | 33.37% | -11.04% | 0.76% | 1.36% | -1.27% |
NCR Voyix Corporation's profitability ratios exhibit fluctuations over the years based on the provided data.
1. Gross Profit Margin:
- The company's gross profit margin has shown variation, ranging from a high of 26.45% in December 2021 to a low of 20.49% in December 2024. This indicates the percentage of revenue that exceeds the cost of goods sold, with the company experiencing some volatility in this aspect.
2. Operating Profit Margin:
- NCR Voyix's operating profit margin has also fluctuated significantly, from a positive 6.62% in December 2021 to a negative 1.31% in December 2024. This indicates the percentage of revenue that remains after deducting the operating expenses, showcasing some challenges in managing these costs efficiently.
3. Pretax Margin:
- The pretax margin shows a wider range of fluctuations, with the company ranging from a positive 3.97% in December 2021 to a negative 9.97% in December 2023. This ratio reflects the company's ability to generate profit before accounting for taxes, suggesting some inconsistencies in profitability before tax implications.
4. Net Profit Margin:
- The net profit margin displays the most significant fluctuations, with the company experiencing a negative margin of -11.04% in December 2023 followed by a substantial increase to 33.37% in December 2024. This ratio illustrates the company's bottom-line profitability after all expenses, including taxes, showing a volatile trend in profitability.
In conclusion, NCR Voyix Corporation's profitability ratios reflect a mix of positive and negative trends over the years, indicating fluctuating levels of efficiency in managing costs and generating profits. It may be critical for the company to focus on stabilizing its profitability to ensure long-term financial health and sustainability.
Return on investment
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | -0.83% | 0.74% | 4.25% | 4.07% | 2.63% |
| Return on assets (ROA) | 21.18% | -8.48% | 0.52% | 0.83% | -0.94% |
| Return on total capital | -5.38% | -9.63% | 9.86% | -4.05% | 12.41% |
| Return on equity (ROE) | 78.00% | -140.53% | 3.42% | 6.34% | -5.98% |
The profitability ratios of NCR Voyix Corporation show varying performance over the five-year period.
1. Operating ROA: Operating return on assets improved from 2.63% in 2020 to 4.25% in 2022 before declining to 0.74% in 2023 and turning negative at -0.83% in 2024. This ratio indicates the company's ability to generate operating income from its assets.
2. ROA: Return on assets fluctuated significantly, from a negative figure of -0.94% in 2020 to a high of 21.18% in 2024. The ratio is a measure of the company's overall efficiency in utilizing its assets to generate profits.
3. Return on total capital: Return on total capital was positive in 2020 and 2022 but turned negative in subsequent years, indicating challenges in generating returns relative to the total capital invested in the business over the period.
4. ROE: Return on equity shows a mix of negative and positive figures, with a notable decrease to -140.53% in 2023 followed by a significant improvement to 78.00% in 2024. This ratio reveals how effectively the company is generating profits from shareholders' equity.
Overall, the company's profitability ratios exhibit volatility and inconsistency, highlighting potential challenges in sustaining profitability and generating returns for investors. Monitoring these ratios closely will be essential for assessing the company's financial health and performance going forward.