Profitability Analysis
Quarterly Data

Difficulty: Beginner


Ratios (Summary)

AT&T Inc., profitability ratios (quarterly data)

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Jun 30, 2018 Mar 31, 2018 Dec 31, 2017 Sep 30, 2017 Jun 30, 2017 Mar 31, 2017 Dec 31, 2016 Sep 30, 2016 Jun 30, 2016 Mar 31, 2016 Dec 31, 2015 Sep 30, 2015 Jun 30, 2015 Mar 31, 2015 Dec 31, 2014 Sep 30, 2014 Jun 30, 2014 Mar 31, 2014 Dec 31, 2013 Sep 30, 2013 Jun 30, 2013 Mar 31, 2013
Return on Sales
Gross profit margin 51.61% 51.36% 51.80% 52.61% 52.97% 53.04% 53.06% 54.01% 54.17% 54.14% 54.33% 52.64% 52.90% 53.40% 54.24% 58.60% 59.21% 59.78% 60.03% % % %
Operating profit margin 12.27% 12.74% 13.05% 15.46% 15.34% 14.81% 14.87% 16.84% 16.73% 17.03% 16.88% 8.41% 8.41% 8.32% 8.87% 22.52% 23.26% 23.73% 23.67% % % %
Net profit margin 20.12% 19.25% 18.34% 8.00% 8.12% 7.77% 7.92% 8.87% 8.76% 8.97% 9.09% 3.85% 4.04% 4.40% 4.70% 13.05% 13.75% 14.01% 14.17% % % %
Return on Investment
Return on equity (ROE) 17.41% 21.00% 20.91% 10.28% 10.54% 10.21% 10.54% 11.77% 11.52% 11.25% 10.88% 4.40% 6.18% 6.75% 7.21% 18.48% 19.46% 20.02% 20.06% % % %
Return on assets (ROA) 5.96% 6.87% 6.63% 2.90% 3.12% 3.07% 3.21% 3.61% 3.54% 3.44% 3.31% 1.34% 1.64% 1.89% 2.13% 5.94% 6.11% 6.38% 6.57% % % %
Source: Based on data from AT&T Inc. Quarterly and Annual Reports
Ratio Description The company
Gross profit margin Gross profit margin indicates the percentage of revenue available to cover operating and other expenditures. AT&T Inc.'s gross profit margin deteriorated from Q4 2017 to Q1 2018 but then improved from Q1 2018 to Q2 2018 not reaching Q4 2017 level.
Operating profit margin A profitability ratio calculated as operating income divided by revenue. AT&T Inc.'s operating profit margin deteriorated from Q4 2017 to Q1 2018 and from Q1 2018 to Q2 2018.
Net profit margin An indicator of profitability, calculated as net income divided by revenue. AT&T Inc.'s net profit margin improved from Q4 2017 to Q1 2018 and from Q1 2018 to Q2 2018.
ROE A profitability ratio calculated as net income divided by shareholders' equity. AT&T Inc.'s ROE improved from Q4 2017 to Q1 2018 but then deteriorated significantly from Q1 2018 to Q2 2018.
ROA A profitability ratio calculated as net income divided by total assets. AT&T Inc.'s ROA improved from Q4 2017 to Q1 2018 but then deteriorated significantly from Q1 2018 to Q2 2018.

Gross Profit Margin

AT&T Inc., gross profit margin calculation (quarterly data)

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Jun 30, 2018 Mar 31, 2018 Dec 31, 2017 Sep 30, 2017 Jun 30, 2017 Mar 31, 2017 Dec 31, 2016 Sep 30, 2016 Jun 30, 2016 Mar 31, 2016 Dec 31, 2015 Sep 30, 2015 Jun 30, 2015 Mar 31, 2015 Dec 31, 2014 Sep 30, 2014 Jun 30, 2014 Mar 31, 2014 Dec 31, 2013 Sep 30, 2013 Jun 30, 2013 Mar 31, 2013
Selected Financial Data (USD $ in millions)
Gross profit 21,528  20,092  19,344  20,762  21,583  21,478  20,722  22,000  22,045  22,135  22,428  21,295  17,936  18,096  15,902  18,416  18,363  19,155  20,926  18,755  18,805  18,802 
Operating revenues 38,986  38,038  41,676  39,668  39,837  39,365  41,841  40,890  40,520  40,535  42,119  39,091  33,015  32,576  34,439  32,957  32,575  32,476  33,163  32,158  32,075  31,356 
Ratio
Gross profit margin1 51.61% 51.36% 51.80% 52.61% 52.97% 53.04% 53.06% 54.01% 54.17% 54.14% 54.33% 52.64% 52.90% 53.40% 54.24% 58.60% 59.21% 59.78% 60.03% % % %
Source: Based on data from AT&T Inc. Quarterly and Annual Reports

Q2 2018 Calculations

1 Gross profit margin = 100 × (Gross profitQ2 2018 + Gross profitQ1 2018 + Gross profitQ4 2017 + Gross profitQ3 2017) ÷ (Operating revenuesQ2 2018 + Operating revenuesQ1 2018 + Operating revenuesQ4 2017 + Operating revenuesQ3 2017)
= 100 × (21,528 + 20,092 + 19,344 + 20,762) ÷ (38,986 + 38,038 + 41,676 + 39,668) = 51.61%

Ratio Description The company
Gross profit margin Gross profit margin indicates the percentage of revenue available to cover operating and other expenditures. AT&T Inc.'s gross profit margin deteriorated from Q4 2017 to Q1 2018 but then improved from Q1 2018 to Q2 2018 not reaching Q4 2017 level.

Operating Profit Margin

AT&T Inc., operating profit margin calculation (quarterly data)

Microsoft Excel LibreOffice Calc
Jun 30, 2018 Mar 31, 2018 Dec 31, 2017 Sep 30, 2017 Jun 30, 2017 Mar 31, 2017 Dec 31, 2016 Sep 30, 2016 Jun 30, 2016 Mar 31, 2016 Dec 31, 2015 Sep 30, 2015 Jun 30, 2015 Mar 31, 2015 Dec 31, 2014 Sep 30, 2014 Jun 30, 2014 Mar 31, 2014 Dec 31, 2013 Sep 30, 2013 Jun 30, 2013 Mar 31, 2013
Selected Financial Data (USD $ in millions)
Operating income 6,466  6,201  359  6,403  7,323  6,864  4,248  6,408  6,560  7,131  7,532  5,923  5,773  5,557  (5,550) 5,402  5,616  6,278  12,238  6,188  6,113  5,940 
Operating revenues 38,986  38,038  41,676  39,668  39,837  39,365  41,841  40,890  40,520  40,535  42,119  39,091  33,015  32,576  34,439  32,957  32,575  32,476  33,163  32,158  32,075  31,356 
Ratio
Operating profit margin1 12.27% 12.74% 13.05% 15.46% 15.34% 14.81% 14.87% 16.84% 16.73% 17.03% 16.88% 8.41% 8.41% 8.32% 8.87% 22.52% 23.26% 23.73% 23.67% % % %
Source: Based on data from AT&T Inc. Quarterly and Annual Reports

Q2 2018 Calculations

1 Operating profit margin = 100 × (Operating incomeQ2 2018 + Operating incomeQ1 2018 + Operating incomeQ4 2017 + Operating incomeQ3 2017) ÷ (Operating revenuesQ2 2018 + Operating revenuesQ1 2018 + Operating revenuesQ4 2017 + Operating revenuesQ3 2017)
= 100 × (6,466 + 6,201 + 359 + 6,403) ÷ (38,986 + 38,038 + 41,676 + 39,668) = 12.27%

Ratio Description The company
Operating profit margin A profitability ratio calculated as operating income divided by revenue. AT&T Inc.'s operating profit margin deteriorated from Q4 2017 to Q1 2018 and from Q1 2018 to Q2 2018.

Net Profit Margin

AT&T Inc., net profit margin calculation (quarterly data)

Microsoft Excel LibreOffice Calc
Jun 30, 2018 Mar 31, 2018 Dec 31, 2017 Sep 30, 2017 Jun 30, 2017 Mar 31, 2017 Dec 31, 2016 Sep 30, 2016 Jun 30, 2016 Mar 31, 2016 Dec 31, 2015 Sep 30, 2015 Jun 30, 2015 Mar 31, 2015 Dec 31, 2014 Sep 30, 2014 Jun 30, 2014 Mar 31, 2014 Dec 31, 2013 Sep 30, 2013 Jun 30, 2013 Mar 31, 2013
Selected Financial Data (USD $ in millions)
Net income attributable to AT&T 5,132  4,662  19,037  3,029  3,915  3,469  2,437  3,328  3,408  3,803  4,006  2,994  3,082  3,263  (3,977) 3,002  3,547  3,652  6,913  3,814  3,822  3,700 
Operating revenues 38,986  38,038  41,676  39,668  39,837  39,365  41,841  40,890  40,520  40,535  42,119  39,091  33,015  32,576  34,439  32,957  32,575  32,476  33,163  32,158  32,075  31,356 
Ratio
Net profit margin1 20.12% 19.25% 18.34% 8.00% 8.12% 7.77% 7.92% 8.87% 8.76% 8.97% 9.09% 3.85% 4.04% 4.40% 4.70% 13.05% 13.75% 14.01% 14.17% % % %
Source: Based on data from AT&T Inc. Quarterly and Annual Reports

Q2 2018 Calculations

1 Net profit margin = 100 × (Net income attributable to AT&TQ2 2018 + Net income attributable to AT&TQ1 2018 + Net income attributable to AT&TQ4 2017 + Net income attributable to AT&TQ3 2017) ÷ (Operating revenuesQ2 2018 + Operating revenuesQ1 2018 + Operating revenuesQ4 2017 + Operating revenuesQ3 2017)
= 100 × (5,132 + 4,662 + 19,037 + 3,029) ÷ (38,986 + 38,038 + 41,676 + 39,668) = 20.12%

Ratio Description The company
Net profit margin An indicator of profitability, calculated as net income divided by revenue. AT&T Inc.'s net profit margin improved from Q4 2017 to Q1 2018 and from Q1 2018 to Q2 2018.

Return on Equity (ROE)

AT&T Inc., ROE calculation (quarterly data)

Microsoft Excel LibreOffice Calc
Jun 30, 2018 Mar 31, 2018 Dec 31, 2017 Sep 30, 2017 Jun 30, 2017 Mar 31, 2017 Dec 31, 2016 Sep 30, 2016 Jun 30, 2016 Mar 31, 2016 Dec 31, 2015 Sep 30, 2015 Jun 30, 2015 Mar 31, 2015 Dec 31, 2014 Sep 30, 2014 Jun 30, 2014 Mar 31, 2014 Dec 31, 2013 Sep 30, 2013 Jun 30, 2013 Mar 31, 2013
Selected Financial Data (USD $ in millions)
Net income attributable to AT&T 5,132  4,662  19,037  3,029  3,915  3,469  2,437  3,328  3,408  3,803  4,006  2,994  3,082  3,263  (3,977) 3,002  3,547  3,652  6,913  3,814  3,822  3,700 
Stockholders' equity attributable to AT&T 182,980  145,920  140,861  124,960  124,725  123,841  123,135  123,611  123,402  123,432  122,671  121,824  86,859  86,499  86,370  92,613  92,132  90,906  90,988  85,715  85,980  87,998 
Ratio
ROE1 17.41% 21.00% 20.91% 10.28% 10.54% 10.21% 10.54% 11.77% 11.52% 11.25% 10.88% 4.40% 6.18% 6.75% 7.21% 18.48% 19.46% 20.02% 20.06% % % %
Source: Based on data from AT&T Inc. Quarterly and Annual Reports

Q2 2018 Calculations

1 ROE = 100 × (Net income attributable to AT&TQ2 2018 + Net income attributable to AT&TQ1 2018 + Net income attributable to AT&TQ4 2017 + Net income attributable to AT&TQ3 2017) ÷ Stockholders' equity attributable to AT&T
= 100 × (5,132 + 4,662 + 19,037 + 3,029) ÷ 182,980 = 17.41%

Ratio Description The company
ROE A profitability ratio calculated as net income divided by shareholders' equity. AT&T Inc.'s ROE improved from Q4 2017 to Q1 2018 but then deteriorated significantly from Q1 2018 to Q2 2018.

Return on Assets (ROA)

AT&T Inc., ROA calculation (quarterly data)

Microsoft Excel LibreOffice Calc
Jun 30, 2018 Mar 31, 2018 Dec 31, 2017 Sep 30, 2017 Jun 30, 2017 Mar 31, 2017 Dec 31, 2016 Sep 30, 2016 Jun 30, 2016 Mar 31, 2016 Dec 31, 2015 Sep 30, 2015 Jun 30, 2015 Mar 31, 2015 Dec 31, 2014 Sep 30, 2014 Jun 30, 2014 Mar 31, 2014 Dec 31, 2013 Sep 30, 2013 Jun 30, 2013 Mar 31, 2013
Selected Financial Data (USD $ in millions)
Net income attributable to AT&T 5,132  4,662  19,037  3,029  3,915  3,469  2,437  3,328  3,408  3,803  4,006  2,994  3,082  3,263  (3,977) 3,002  3,547  3,652  6,913  3,814  3,822  3,700 
Total assets 534,691  446,343  444,097  443,865  420,795  411,903  403,821  402,975  401,808  403,638  402,672  399,989  326,489  308,028  292,829  287,939  293,466  285,340  277,787  274,599  272,093  270,994 
Ratio
ROA1 5.96% 6.87% 6.63% 2.90% 3.12% 3.07% 3.21% 3.61% 3.54% 3.44% 3.31% 1.34% 1.64% 1.89% 2.13% 5.94% 6.11% 6.38% 6.57% % % %
Source: Based on data from AT&T Inc. Quarterly and Annual Reports

Q2 2018 Calculations

1 ROA = 100 × (Net income attributable to AT&TQ2 2018 + Net income attributable to AT&TQ1 2018 + Net income attributable to AT&TQ4 2017 + Net income attributable to AT&TQ3 2017) ÷ Total assets
= 100 × (5,132 + 4,662 + 19,037 + 3,029) ÷ 534,691 = 5.96%

Ratio Description The company
ROA A profitability ratio calculated as net income divided by total assets. AT&T Inc.'s ROA improved from Q4 2017 to Q1 2018 but then deteriorated significantly from Q1 2018 to Q2 2018.