United States Steel Corporation (X)
Profitability ratios
Return on sales
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Gross profit margin | 7.02% | 8.54% | 17.15% | 24.11% | -5.13% |
| Operating profit margin | 1.53% | 4.43% | 15.00% | 24.39% | -11.04% |
| Pretax margin | 2.80% | 5.80% | 15.47% | 21.43% | -13.42% |
| Net profit margin | 2.46% | 4.96% | 11.98% | 20.59% | -11.96% |
United States Steel Corporation's profitability ratios have fluctuated over the past five years. The Gross Profit Margin has shown significant improvement, increasing from -5.13% in 2020 to 24.11% in 2021, before moderating to 7.02% in 2024. Despite this decline, the Gross Profit Margin remained positive in all years, indicating the company's ability to generate profits after accounting for the cost of goods sold.
The Operating Profit Margin also demonstrated variability, rising sharply from -11.04% in 2020 to 24.39% in 2021, then decreasing to 1.53% in 2024. This suggests that the company's operating expenses have fluctuated significantly, impacting its overall profitability.
The Pretax Margin followed a similar trend, increasing from -13.42% in 2020 to a peak of 21.43% in 2021, before declining to 2.80% in 2024. This indicates fluctuations in the company's pre-tax profitability, influenced by both operating performance and non-operating items.
Lastly, the Net Profit Margin also exhibited volatility, improving from -11.96% in 2020 to 20.59% in 2021, but declining to 2.46% in 2024. This indicates that the company's bottom line profitability has been inconsistent over the years, affected by various factors such as operating efficiency, financial leverage, and non-operating expenses.
In conclusion, United States Steel Corporation's profitability ratios have shown variability over the past five years, with improvements in some areas but declines in others. These fluctuations may be attributed to changes in revenues, expenses, and other factors affecting the company's overall profitability.
Return on investment
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 1.19% | 3.91% | 16.24% | 27.76% | -8.91% |
| Return on assets (ROA) | 1.90% | 4.38% | 12.97% | 23.43% | -9.66% |
| Return on total capital | 4.07% | 10.13% | 33.45% | 51.69% | -27.13% |
| Return on equity (ROE) | 3.38% | 8.10% | 24.70% | 46.33% | -30.77% |
United States Steel Corporation's profitability ratios exhibit a fluctuating trend over the years.
1. Operating Return on Assets (Operating ROA) rose significantly from -8.91% in 2020 to 27.76% in 2021 before decreasing to 16.24% in 2022. It further declined to 3.91% in 2023 and significantly dropped to 1.19% in 2024.
2. Return on Assets (ROA) also followed a similar pattern, starting at -9.66% in 2020, increasing to 23.43% in 2021, and then decreasing to 12.97% in 2022. It fell further to 4.38% in 2023 and 1.90% in 2024.
3. Return on Total Capital declined from -27.13% in 2020 to 51.69% in 2021, then decreased to 33.45% in 2022. Subsequently, it dropped to 10.13% in 2023 and further declined to 4.07% in 2024.
4. Return on Equity (ROE) also showed a diminishing trend, starting at -30.77% in 2020, increasing to 46.33% in 2021, and then decreasing to 24.70% in 2022. It further declined to 8.10% in 2023 and 3.38% in 2024.
Overall, while there were periods of significant improvement in profitability ratios, especially in 2021, the subsequent years showed a decline, indicating potential challenges in maintaining profitability and generating returns for the company's shareholders. Additional analysis of the company's operations and financial position would be necessary to identify the specific factors driving these fluctuations in profitability ratios.