Stock Analysis on Net
Stock Analysis on Net
Microsoft Excel LibreOffice Calc

Altria Group Inc. (NYSE:MO)

Analysis of Profitability Ratios

Beginner level


Profitability Ratios (Summary)

Altria Group Inc., profitability ratios

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Return on Sales
Gross profit margin 50.62% 48.31% 46.73% 45.02% 43.70%
Operating profit margin 41.12% 35.94% 37.36% 34.04% 32.87%
Net profit margin -5.15% 27.45% 39.97% 55.31% 20.61%
Return on Investment
Return on equity (ROE) -20.78% 47.09% 66.48% 111.50% 181.98%
Return on assets (ROA) -2.62% 12.51% 23.66% 31.00% 16.11%

Based on: 10-K (filing date: 2020-02-25), 10-K (filing date: 2019-02-26), 10-K (filing date: 2018-02-27), 10-K (filing date: 2017-02-27), 10-K (filing date: 2016-02-25).

Profitability ratio Description The company
Gross profit margin Gross profit margin indicates the percentage of revenue available to cover operating and other expenditures. Altria Group Inc.’s gross profit margin ratio improved from 2017 to 2018 and from 2018 to 2019.
Operating profit margin A profitability ratio calculated as operating income divided by revenue. Altria Group Inc.’s operating profit margin ratio deteriorated from 2017 to 2018 but then improved from 2018 to 2019 exceeding 2017 level.
Net profit margin An indicator of profitability, calculated as net income divided by revenue. Altria Group Inc.’s net profit margin ratio deteriorated from 2017 to 2018 and from 2018 to 2019.

Profitability ratio Description The company
ROE A profitability ratio calculated as net income divided by shareholders’ equity. Altria Group Inc.’s ROE deteriorated from 2017 to 2018 and from 2018 to 2019.
ROA A profitability ratio calculated as net income divided by total assets. Altria Group Inc.’s ROA deteriorated from 2017 to 2018 and from 2018 to 2019.

Gross Profit Margin

Altria Group Inc., gross profit margin calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Selected Financial Data (US$ in millions)
Gross profit 12,711  12,254  11,951  11,591  11,114 
Net revenues 25,110  25,364  25,576  25,744  25,434 
Profitability Ratio
Gross profit margin1 50.62% 48.31% 46.73% 45.02% 43.70%
Benchmarks
Gross Profit Margin, Competitors2
Philip Morris International Inc. 24.76% 23.64% 23.45% 23.07% 23.58%

Based on: 10-K (filing date: 2020-02-25), 10-K (filing date: 2019-02-26), 10-K (filing date: 2018-02-27), 10-K (filing date: 2017-02-27), 10-K (filing date: 2016-02-25).

1 2019 Calculation
Gross profit margin = 100 × Gross profit ÷ Net revenues
= 100 × 12,711 ÷ 25,110 = 50.62%

2 Click competitor name to see calculations.

Profitability ratio Description The company
Gross profit margin Gross profit margin indicates the percentage of revenue available to cover operating and other expenditures. Altria Group Inc.’s gross profit margin ratio improved from 2017 to 2018 and from 2018 to 2019.

Operating Profit Margin

Altria Group Inc., operating profit margin calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Selected Financial Data (US$ in millions)
Operating income 10,326  9,115  9,556  8,762  8,361 
Net revenues 25,110  25,364  25,576  25,744  25,434 
Profitability Ratio
Operating profit margin1 41.12% 35.94% 37.36% 34.04% 32.87%
Benchmarks
Operating Profit Margin, Competitors2
Philip Morris International Inc. 13.51% 14.25% 14.73% 14.43% 14.37%
Operating Profit Margin, Sector
Tobacco 20.24% 19.48% 20.31% 19.44% 19.11%
Operating Profit Margin, Industry
Consumer Goods 16.37% 14.68% 19.16% 18.40% 17.22%

Based on: 10-K (filing date: 2020-02-25), 10-K (filing date: 2019-02-26), 10-K (filing date: 2018-02-27), 10-K (filing date: 2017-02-27), 10-K (filing date: 2016-02-25).

1 2019 Calculation
Operating profit margin = 100 × Operating income ÷ Net revenues
= 100 × 10,326 ÷ 25,110 = 41.12%

2 Click competitor name to see calculations.

Profitability ratio Description The company
Operating profit margin A profitability ratio calculated as operating income divided by revenue. Altria Group Inc.’s operating profit margin ratio deteriorated from 2017 to 2018 but then improved from 2018 to 2019 exceeding 2017 level.

Net Profit Margin

Altria Group Inc., net profit margin calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Selected Financial Data (US$ in millions)
Net earnings (losses) attributable to Altria (1,293) 6,963  10,222  14,239  5,241 
Net revenues 25,110  25,364  25,576  25,744  25,434 
Profitability Ratio
Net profit margin1 -5.15% 27.45% 39.97% 55.31% 20.61%
Benchmarks
Net Profit Margin, Competitors2
Philip Morris International Inc. 9.22% 9.91% 7.73% 9.30% 9.30%
Net Profit Margin, Sector
Tobacco 5.72% 14.14% 15.68% 21.06% 12.19%
Net Profit Margin, Industry
Consumer Goods 10.38% 11.02% 15.16% 14.83% 11.54%

Based on: 10-K (filing date: 2020-02-25), 10-K (filing date: 2019-02-26), 10-K (filing date: 2018-02-27), 10-K (filing date: 2017-02-27), 10-K (filing date: 2016-02-25).

1 2019 Calculation
Net profit margin = 100 × Net earnings (losses) attributable to Altria ÷ Net revenues
= 100 × -1,293 ÷ 25,110 = -5.15%

2 Click competitor name to see calculations.

Profitability ratio Description The company
Net profit margin An indicator of profitability, calculated as net income divided by revenue. Altria Group Inc.’s net profit margin ratio deteriorated from 2017 to 2018 and from 2018 to 2019.

Return on Equity (ROE)

Altria Group Inc., ROE calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Selected Financial Data (US$ in millions)
Net earnings (losses) attributable to Altria (1,293) 6,963  10,222  14,239  5,241 
Stockholders’ equity attributable to Altria 6,222  14,787  15,377  12,770  2,880 
Profitability Ratio
ROE1 -20.78% 47.09% 66.48% 111.50% 181.98%
Benchmarks
ROE, Competitors2
Philip Morris International Inc.
ROE, Sector
Tobacco 638.92% 493.98% 25,860.98%
ROE, Industry
Consumer Goods 24.15% 24.05% 30.03% 30.35% 23.85%

Based on: 10-K (filing date: 2020-02-25), 10-K (filing date: 2019-02-26), 10-K (filing date: 2018-02-27), 10-K (filing date: 2017-02-27), 10-K (filing date: 2016-02-25).

1 2019 Calculation
ROE = 100 × Net earnings (losses) attributable to Altria ÷ Stockholders’ equity attributable to Altria
= 100 × -1,293 ÷ 6,222 = -20.78%

2 Click competitor name to see calculations.

Profitability ratio Description The company
ROE A profitability ratio calculated as net income divided by shareholders’ equity. Altria Group Inc.’s ROE deteriorated from 2017 to 2018 and from 2018 to 2019.

Return on Assets (ROA)

Altria Group Inc., ROA calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Selected Financial Data (US$ in millions)
Net earnings (losses) attributable to Altria (1,293) 6,963  10,222  14,239  5,241 
Total assets 49,271  55,638  43,202  45,932  32,535 
Profitability Ratio
ROA1 -2.62% 12.51% 23.66% 31.00% 16.11%
Benchmarks
ROA, Competitors2
Philip Morris International Inc. 16.76% 19.88% 14.05% 18.91% 20.24%
ROA, Sector
Tobacco 6.39% 15.58% 18.87% 25.62% 18.22%
ROA, Industry
Consumer Goods 6.98% 7.32% 9.65% 9.60% 7.74%

Based on: 10-K (filing date: 2020-02-25), 10-K (filing date: 2019-02-26), 10-K (filing date: 2018-02-27), 10-K (filing date: 2017-02-27), 10-K (filing date: 2016-02-25).

1 2019 Calculation
ROA = 100 × Net earnings (losses) attributable to Altria ÷ Total assets
= 100 × -1,293 ÷ 49,271 = -2.62%

2 Click competitor name to see calculations.

Profitability ratio Description The company
ROA A profitability ratio calculated as net income divided by total assets. Altria Group Inc.’s ROA deteriorated from 2017 to 2018 and from 2018 to 2019.