John Wiley & Sons (WLY)
Profitability ratios
Return on sales
| Apr 30, 2024 | Apr 30, 2023 | Apr 30, 2022 | Apr 30, 2021 | Apr 30, 2020 | |
|---|---|---|---|---|---|
| Gross profit margin | 10.76% | 3.49% | 9.46% | 68.13% | 68.54% |
| Operating profit margin | 2.79% | 2.82% | 10.64% | 9.60% | -3.00% |
| Pretax margin | -10.00% | 1.67% | 10.18% | 9.11% | -3.49% |
| Net profit margin | -10.71% | 0.87% | 7.20% | 7.67% | -4.10% |
John Wiley & Sons' profitability ratios show varying trends over the past five years. The gross profit margin fluctuated significantly, with a sharp decline in 2023 but a slight recovery in 2024. The operating profit margin remained relatively stable but at a low level, indicating challenges in controlling operating expenses. The pretax margin fluctuated, showing a significant decrease in 2024 compared to the previous two years. The net profit margin followed a similar pattern to the pretax margin, indicating that the company's bottom line performance has been volatile and impacted by expenses and taxes. Overall, John Wiley & Sons' profitability ratios suggest the company faces challenges in generating consistent profits and efficiently managing costs.
Return on investment
| Apr 30, 2024 | Apr 30, 2023 | Apr 30, 2022 | Apr 30, 2021 | Apr 30, 2020 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 1.92% | 1.80% | 6.52% | 5.38% | -1.71% |
| Return on assets (ROA) | -7.35% | 0.55% | 4.41% | 4.30% | -2.34% |
| Return on total capital | -9.16% | 3.96% | 12.01% | 10.22% | -2.24% |
| Return on equity (ROE) | -27.08% | 1.65% | 12.98% | 13.59% | -7.96% |
John Wiley & Sons' profitability ratios show mixed performance over the last five years.
1. Operating return on assets (Operating ROA) has fluctuated, with a significant drop in the most recent year from 6.52% in 2022 to 1.92% in 2024. This indicates that the company's operating profitability relative to its total assets has decreased.
2. Return on assets (ROA) displays a similar trend, with negative returns in 2021 and 2020 due to net losses. However, there was a slight improvement in 2023 followed by a significant decline in 2024, reflecting challenges in generating profits from its assets.
3. Return on total capital also experienced fluctuation, with negative returns in 2021 and 2020. The ratio decreased from 12.01% in 2022 to -9.16% in 2024, suggesting inefficiency in utilizing total capital to generate profits.
4. Return on equity (ROE) showed a downward trend, with a significant decrease in 2024 to -27.08%. This indicates that the company's ability to generate profit for its shareholders from their equity investments has deteriorated.
Overall, John Wiley & Sons' profitability ratios indicate a recent decline in profitability and efficiency in generating returns from assets and capital. Management should closely monitor and address the factors impacting profitability to improve financial performance in the future.