Olympic Steel Inc (ZEUS)
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 | 13.27% | 12.25% | 11.52% | 11.74% | 12.20% | 12.84% | 14.20% | 14.48% | 14.85% | 29.46% | 31.60% | 33.99% | 34.50% | 33.86% | 32.47% | 30.23% | 28.88% | 33.50% | 33.02% | 33.58% |
| Operating profit margin | 3.60% | 3.29% | 3.06% | 4.04% | 5.22% | 6.09% | 7.61% | 7.62% | 7.46% | 7.01% | 4.79% | 2.17% | 0.05% | -0.31% | 0.01% | 0.91% | 1.05% | 1.03% | 1.84% | 2.84% |
| Pretax margin | 2.85% | 2.60% | 2.44% | 3.53% | 4.82% | 6.08% | 7.64% | 7.66% | 7.53% | 6.65% | 4.36% | 1.65% | -0.56% | -0.98% | -0.68% | 0.22% | 0.33% | 0.30% | 1.12% | 2.16% |
| Net profit margin | 2.06% | 1.88% | 1.78% | 2.61% | 3.55% | 4.54% | 5.69% | 5.71% | 5.63% | 4.85% | 3.15% | 1.18% | -0.45% | -0.68% | -0.47% | 0.16% | 0.24% | 0.20% | 0.82% | 1.58% |
Olympic Steel Inc.'s profitability ratios have shown a mixed trend over the past eight quarters.
The gross profit margin has been relatively stable, ranging from 18.99% to 21.94%. This indicates that the company is able to effectively manage its production costs and generate a reasonable level of gross profit from its sales.
However, the operating profit margin has been fluctuating, with a decreasing trend overall. It has decreased from 7.62% in Q1 2022 to 3.60% in Q4 2023. This suggests that Olympic Steel Inc. may be facing challenges in controlling its operating expenses and maintaining profitability at the operating level.
Similarly, the pretax margin and net profit margin have also decreased over the quarters. The pretax margin decreased from 7.31% in Q1 2022 to 2.85% in Q4 2023, while the net profit margin decreased from 5.36% to 2.06% over the same period. This indicates that the company's overall profitability has been declining, possibly due to a combination of factors such as higher costs, lower sales prices, or other operational challenges.
In conclusion, while Olympic Steel Inc. has maintained a relatively stable gross profit margin, its operating profit margin, pretax margin, and net profit margin have shown a decreasing trend over the past eight quarters. This reflects challenges in managing costs and maintaining profitability, which may require further analysis and strategic actions to address.
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) | 7.89% | 7.26% | 6.93% | 9.58% | 15.00% | 15.66% | 18.91% | 18.59% | 16.85% | 13.56% | 8.90% | 3.94% | 0.06% | -0.61% | 0.03% | 2.00% | 2.56% | 2.49% | 4.47% | 6.35% |
| Return on assets (ROA) | 4.52% | 4.14% | 4.03% | 6.18% | 10.20% | 11.67% | 14.14% | 13.95% | 12.73% | 9.39% | 5.85% | 2.14% | -0.55% | -1.34% | -0.96% | 0.35% | 0.59% | 0.49% | 1.99% | 3.53% |
| Return on total capital | 10.42% | 9.66% | 9.05% | 12.56% | 19.62% | 21.45% | 26.09% | 25.07% | 22.93% | 17.46% | 12.69% | 5.65% | 0.10% | -0.80% | 0.03% | 2.64% | 3.31% | 3.27% | 5.65% | 8.16% |
| Return on equity (ROE) | 8.02% | 7.48% | 7.59% | 12.11% | 17.62% | 23.61% | 30.73% | 31.45% | 30.69% | 19.11% | 14.67% | 4.89% | -1.32% | -2.77% | -2.05% | 0.78% | 1.25% | 1.11% | 4.68% | 9.12% |
Olympic Steel Inc.'s profitability ratios have exhibited a declining trend over the quarters provided.
1. Operating return on assets (Operating ROA) has shown a gradual decrease from 9.58% in Q1 2023 to 7.89% in Q4 2023, indicating that the company's ability to generate operating income from its assets has weakened over time.
2. Return on assets (ROA) has also followed a downward trajectory, dropping from 6.18% in Q1 2023 to 4.52% in Q4 2023. This suggests that the overall profitability of the company in relation to its total assets has decreased.
3. Return on total capital has shown a similar decline, falling from 12.56% in Q1 2023 to 10.42% in Q4 2023. This indicates that the company's ability to generate profits from its total invested capital has diminished.
4. Return on equity (ROE) has fluctuated but generally decreased from 12.11% in Q1 2023 to 8.02% in Q4 2023. This indicates that the company's profitability in relation to shareholders' equity has decreased, highlighting potential concerns about shareholder returns.
Overall, the declining trend in Olympic Steel Inc.'s profitability ratios suggests potential challenges in generating profits from its assets, capital, and equity. Further analysis and investigation may be required to identify the underlying reasons for these trends and to develop strategies for improved financial performance.