Zebra Technologies Corporation (ZBRA)
Profitability ratios
Return on sales
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Gross profit margin | 46.33% | 45.41% | 46.77% | 45.95% | 47.81% |
| Operating profit margin | 10.50% | 9.16% | 17.42% | 14.93% | 15.76% |
| Pretax margin | 7.29% | 9.42% | 17.23% | 12.85% | 13.62% |
| Net profit margin | 6.46% | 8.01% | 14.90% | 11.56% | 12.39% |
Zebra Technologies Corp.'s profitability ratios have shown some fluctuations over the past five years. The gross profit margin has ranged between 45.03% and 46.82%, with a slight increase in 2023 to 46.31%. This indicates the company's ability to efficiently manage production costs and generate profit from sales.
The operating profit margin has also varied, ranging from 15.40% to 17.97%, with a decrease in 2023 to 12.76%. This metric reflects the company's ability to control operating expenses and generate profits from core operations.
Similarly, the pretax margin has fluctuated between 7.29% and 17.20% over the period analyzed. In 2023, the margin decreased to 7.29%, indicating lower profitability before accounting for taxes.
Finally, the net profit margin has ranged from 11.33% to 14.87%, with a decrease to 6.46% in 2023. This ratio reflects the company's overall profitability after all expenses, including taxes, have been accounted for.
Overall, Zebra Technologies Corp. has demonstrated decent profitability levels over the years, albeit with some fluctuations. It is essential for the company to focus on controlling costs and enhancing operational efficiency to maintain or improve its profitability in the future.
Return on investment
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 6.58% | 7.03% | 15.75% | 12.11% | 14.69% |
| Return on assets (ROA) | 4.05% | 6.15% | 13.47% | 9.38% | 11.55% |
| Return on total capital | 9.46% | 11.65% | 24.91% | 21.02% | 23.54% |
| Return on equity (ROE) | 9.75% | 16.94% | 28.05% | 23.51% | 29.58% |
Zebra Technologies Corp.'s profitability ratios show fluctuating trends over the past five years.
1. Operating return on assets (Operating ROA) has seen a general decline from 16.27% in 2021 to 8.01% in 2023, indicating a decrease in the company's operating efficiency in generating profits from its assets.
2. Return on assets (ROA) has also exhibited a downward trajectory, dropping from 13.47% in 2021 to 4.05% in 2023, suggesting a decrease in the overall profitability of the company relative to its total assets.
3. Return on total capital has experienced fluctuations over the years, peaking at 25.43% in 2021 and dropping to 11.13% in 2023. This ratio reflects the company's ability to generate returns for all its invested capital.
4. Return on equity (ROE) has shown a downward trend, declining from 28.05% in 2021 to 9.75% in 2023. This indicates a decrease in the company's ability to generate profits for its shareholders relative to their equity investments.
Overall, the trend in Zebra Technologies Corp.'s profitability ratios suggests a decline in profitability and efficiency in generating returns over the past five years, which may warrant further investigation into the company's operational performance and financial management.