Warner Music Group (WMG)
Profitability ratios
Return on sales
| 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 | Dec 31, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit margin | 9.81% | 11.69% | 10.74% | 11.13% | 10.48% | 10.88% | 11.08% | 12.43% | 13.50% | 11.84% | 12.12% | 12.13% | 11.35% | 11.81% | 0.25% | -4.14% | -5.13% | -6.68% | 4.28% | 8.04% |
| Operating profit margin | 13.17% | 14.27% | 14.06% | 14.37% | 13.37% | 12.58% | 12.03% | 12.72% | 11.87% | 11.15% | 11.63% | 11.63% | 11.51% | 11.85% | 0.04% | -4.36% | -5.13% | -6.46% | 4.50% | 8.26% |
| Pretax margin | 8.93% | 11.58% | 11.58% | 10.81% | 10.16% | 9.76% | 9.88% | 11.07% | 12.23% | 10.29% | 9.42% | 10.38% | 8.56% | 7.56% | -4.02% | -9.78% | -10.13% | -9.35% | 1.18% | 5.61% |
| Net profit margin | 6.96% | 8.73% | 8.51% | 7.64% | 7.28% | 7.23% | 7.38% | 8.35% | 9.16% | 7.38% | 6.42% | 7.01% | 5.74% | 5.46% | -6.48% | -10.94% | -10.64% | -8.61% | 3.30% | 6.40% |
Warner Music Group's profitability ratios have shown some fluctuations over the past few quarters. The gross profit margin has ranged from 9.81% to 13.50% over the period under review. The operating profit margin has also varied, ranging from 11.15% to 14.37%. In terms of pre-tax margin, there has been a range of 7.56% to 12.23%, reflecting fluctuations in the company's ability to generate profits before taxes. The net profit margin has also shown fluctuations, ranging from 5.46% to 9.16%.
Overall, Warner Music Group's profitability ratios indicate some level of volatility in its ability to generate profits from its operations over the period analyzed. It is important for the company to closely monitor and manage its costs and revenue streams to improve its overall profitability and financial performance.
Return on investment
| 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 | Dec 31, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 8.99% | 10.10% | 10.01% | 9.78% | 9.25% | 9.09% | 8.71% | 9.10% | 9.12% | 8.46% | 8.57% | 8.13% | 8.45% | 8.48% | 0.03% | -2.85% | -3.57% | -4.68% | 3.31% | 5.92% |
| Return on assets (ROA) | 4.75% | 6.18% | 6.06% | 5.19% | 5.03% | 5.23% | 5.34% | 5.98% | 7.04% | 5.60% | 4.73% | 4.90% | 4.22% | 3.91% | -4.48% | -7.16% | -7.41% | -6.25% | 2.43% | 4.59% |
| Return on total capital | 18.16% | 20.00% | 19.79% | 19.68% | 18.50% | 17.36% | 16.47% | 17.55% | 18.38% | 16.52% | 16.75% | 16.30% | 18.03% | 17.31% | 0.06% | -5.82% | -7.53% | -9.72% | 7.58% | 13.37% |
| Return on equity (ROE) | 83.98% | 113.04% | 122.17% | 100.86% | 140.07% | 151.60% | 169.84% | 180.00% | 362.50% | 276.28% | 238.96% | 256.86% | 980.65% | 339.51% | -536.84% | -3,106.25% | — | — | — | — |
Warner Music Group's profitability ratios have shown fluctuating trends over the past several quarters.
1. Operating return on assets (Operating ROA) has ranged from 8.13% to 10.10% in recent quarters, with a general upward trend. This indicates that the company has been generating operating profits efficiently relative to its total assets.
2. Return on assets (ROA) has varied between -7.41% and 7.04% during this period, reflecting inconsistency in the company's ability to generate profits from its assets. There was a significant improvement in the most recent quarter compared to the negative figures seen in the earlier quarters.
3. Return on total capital has fluctuated between -9.72% and 20.00%, suggesting volatility in the company's ability to generate returns for both equity and debt providers. The most recent quarters have shown relatively higher returns compared to the previous periods.
4. Return on equity (ROE) has displayed a wide range from -536.84% to 980.65%. This indicates substantial fluctuations in the company's ability to generate profits for its shareholders. The most recent quarters have shown exceptionally high ROE, indicating strong profitability relative to shareholders' equity.
Overall, Warner Music Group's profitability ratios reflect a mix of improved performance and volatility in profitability metrics, highlighting the importance of consistent financial management to sustain and enhance shareholder value.