Xylem Inc (XYL)
Profitability ratios
Return on sales
| 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 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit margin | 36.90% | 37.53% | 37.88% | 37.96% | 37.74% | 37.54% | 37.37% | 37.46% | 38.02% | 38.28% | 38.40% | 38.15% | 37.53% | 37.77% | 38.16% | 38.58% | 38.98% | 38.96% | 38.95% | 39.03% |
| Operating profit margin | 8.85% | 9.45% | 10.16% | 11.27% | 11.26% | 10.58% | 10.51% | 10.80% | 11.26% | 11.90% | 10.48% | 8.76% | 7.53% | 7.86% | 6.48% | 8.53% | 9.26% | 9.21% | 12.37% | 12.44% |
| Pretax margin | 8.62% | 9.09% | 7.36% | 8.21% | 7.97% | 7.06% | 9.44% | 9.50% | 9.84% | 10.35% | 8.85% | 7.13% | 5.84% | 6.26% | 4.91% | 7.09% | 7.93% | 7.92% | 11.23% | 11.17% |
| Net profit margin | 8.27% | 7.29% | 5.81% | 6.53% | 6.43% | 5.97% | 8.06% | 8.10% | 8.22% | 8.81% | 7.40% | 6.05% | 5.21% | 4.60% | 5.09% | 7.01% | 7.64% | 9.65% | 10.90% | 10.50% |
Xylem Inc's profitability ratios show fluctuations over the past eight quarters. The gross profit margin has remained relatively stable, ranging from 36.90% to 37.96%. This indicates that the company has been able to maintain a consistent level of profitability after accounting for the cost of goods sold.
The operating profit margin has also shown stability, fluctuating between 9.89% and 11.92%. This suggests that Xylem has been efficient in managing its operating expenses in relation to its revenue, resulting in a steady operating profitability.
The pretax margin has varied more significantly, with values ranging from 7.36% to 9.50% over the same period. This indicates fluctuations in the company's profitability before taking into account taxes and other non-operating expenses, potentially influenced by external factors or one-time events.
The net profit margin, representing the company's profitability after all expenses have been deducted, has also shown variability, ranging from 5.81% to 8.27%. This measure is crucial as it reflects the company's ability to generate profit from its core operations.
Overall, Xylem's profitability ratios demonstrate a level of stability in gross and operating profit margins, while the pretax and net profit margins have shown more volatility. Further analysis may be needed to understand the underlying reasons for these fluctuations and assess the company's overall financial performance.
Return on investment
| 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 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 4.05% | 4.01% | 3.82% | 8.09% | 7.82% | 6.97% | 6.70% | 6.85% | 7.07% | 7.66% | 6.20% | 5.14% | 4.19% | 4.53% | 3.80% | 5.77% | 6.30% | 6.45% | 8.47% | 8.70% |
| Return on assets (ROA) | 3.78% | 3.09% | 2.19% | 4.69% | 4.46% | 3.94% | 5.14% | 5.13% | 5.16% | 5.67% | 4.38% | 3.55% | 2.90% | 2.65% | 2.98% | 4.74% | 5.20% | 6.76% | 7.47% | 7.35% |
| Return on total capital | 5.50% | 5.43% | 4.04% | 9.42% | 9.12% | 8.38% | 10.88% | 11.09% | 10.37% | 11.30% | 9.90% | 8.13% | 6.64% | 6.35% | 5.23% | 8.86% | 9.67% | 9.93% | 13.47% | 13.70% |
| Return on equity (ROE) | 5.99% | 4.95% | 3.56% | 10.40% | 10.16% | 9.92% | 13.18% | 13.20% | 13.27% | 14.94% | 12.66% | 10.32% | 8.56% | 7.81% | 8.82% | 12.80% | 13.56% | 17.60% | 19.80% | 19.64% |
Xylem Inc's profitability ratios demonstrate fluctuating trends over the past eight quarters. The Operating Return on Assets (Operating ROA) has shown a general upward trajectory since Q1 2023, indicating an improvement in the company's ability to generate profits from its assets. However, there was a notable dip in Q2 2023 before a recovery in subsequent quarters.
Return on Assets (ROA) also displayed variability, with a peak in Q1 2023 followed by a decline in Q2 and Q3 2023, before a slight increase in Q4 2023. This suggests that Xylem's overall efficiency in generating profits from its total assets has experienced some fluctuations.
Return on Total Capital has shown significant swings, with a peak in Q1 2023 followed by a sharp decline in Q2 and Q3 2023, before a recovery in Q4 2023. This ratio indicates the company's ability to generate returns from both debt and equity capital employed in its operations.
Return on Equity (ROE) also displayed variability, with peaks in Q1 and Q4 2023 and dips in Q2 and Q3 2023. This ratio measures how effectively the company is generating profits from shareholders' equity.
Overall, while Xylem Inc's profitability ratios have shown some fluctuations, the company has managed to maintain positive returns on assets, total capital, and equity over the analyzed period, indicating a generally satisfactory performance in generating profits relative to the resources employed. It is essential for stakeholders to continue monitoring these ratios to assess the company's financial health and performance accurately.