Profitability ratios measure the company ability to generate profitable sales from its resources (assets).
Profitability Ratios (Summary)
Based on: 10-K (reporting date: 2023-06-30), 10-K (reporting date: 2022-06-30), 10-K (reporting date: 2021-06-30), 10-K (reporting date: 2020-06-30), 10-K (reporting date: 2019-06-30), 10-K (reporting date: 2018-06-30).
Profitability ratio | Description | The company |
---|---|---|
Gross profit margin | Gross profit margin indicates the percentage of revenue available to cover operating and other expenditures. | Procter & Gamble Co. gross profit margin ratio deteriorated from 2021 to 2022 but then slightly improved from 2022 to 2023. |
Operating profit margin | A profitability ratio calculated as operating income divided by revenue. | Procter & Gamble Co. operating profit margin ratio deteriorated from 2021 to 2022 and from 2022 to 2023. |
Net profit margin | An indicator of profitability, calculated as net income divided by revenue. | Procter & Gamble Co. net profit margin ratio deteriorated from 2021 to 2022 and from 2022 to 2023. |
Profitability ratio | Description | The company |
---|---|---|
ROE | A profitability ratio calculated as net income divided by shareholders’ equity. | Procter & Gamble Co. ROE improved from 2021 to 2022 but then slightly deteriorated from 2022 to 2023. |
ROA | A profitability ratio calculated as net income divided by total assets. | Procter & Gamble Co. ROA improved from 2021 to 2022 but then slightly deteriorated from 2022 to 2023 not reaching 2021 level. |
Gross Profit Margin
Based on: 10-K (reporting date: 2023-06-30), 10-K (reporting date: 2022-06-30), 10-K (reporting date: 2021-06-30), 10-K (reporting date: 2020-06-30), 10-K (reporting date: 2019-06-30), 10-K (reporting date: 2018-06-30).
1 2023 Calculation
Gross profit margin = 100 × Gross profit ÷ Net sales
= 100 × 39,246 ÷ 82,006 = 47.86%
Profitability ratio | Description | The company |
---|---|---|
Gross profit margin | Gross profit margin indicates the percentage of revenue available to cover operating and other expenditures. | Procter & Gamble Co. gross profit margin ratio deteriorated from 2021 to 2022 but then slightly improved from 2022 to 2023. |
Operating Profit Margin
Based on: 10-K (reporting date: 2023-06-30), 10-K (reporting date: 2022-06-30), 10-K (reporting date: 2021-06-30), 10-K (reporting date: 2020-06-30), 10-K (reporting date: 2019-06-30), 10-K (reporting date: 2018-06-30).
1 2023 Calculation
Operating profit margin = 100 × Operating income ÷ Net sales
= 100 × 18,134 ÷ 82,006 = 22.11%
Profitability ratio | Description | The company |
---|---|---|
Operating profit margin | A profitability ratio calculated as operating income divided by revenue. | Procter & Gamble Co. operating profit margin ratio deteriorated from 2021 to 2022 and from 2022 to 2023. |
Net Profit Margin
Based on: 10-K (reporting date: 2023-06-30), 10-K (reporting date: 2022-06-30), 10-K (reporting date: 2021-06-30), 10-K (reporting date: 2020-06-30), 10-K (reporting date: 2019-06-30), 10-K (reporting date: 2018-06-30).
1 2023 Calculation
Net profit margin = 100 × Net earnings attributable to Procter & Gamble (P&G) ÷ Net sales
= 100 × 14,653 ÷ 82,006 = 17.87%
Profitability ratio | Description | The company |
---|---|---|
Net profit margin | An indicator of profitability, calculated as net income divided by revenue. | Procter & Gamble Co. net profit margin ratio deteriorated from 2021 to 2022 and from 2022 to 2023. |
Return on Equity (ROE)
Based on: 10-K (reporting date: 2023-06-30), 10-K (reporting date: 2022-06-30), 10-K (reporting date: 2021-06-30), 10-K (reporting date: 2020-06-30), 10-K (reporting date: 2019-06-30), 10-K (reporting date: 2018-06-30).
1 2023 Calculation
ROE = 100 × Net earnings attributable to Procter & Gamble (P&G) ÷ Shareholders’ equity attributable to Procter & Gamble
= 100 × 14,653 ÷ 46,777 = 31.33%
Profitability ratio | Description | The company |
---|---|---|
ROE | A profitability ratio calculated as net income divided by shareholders’ equity. | Procter & Gamble Co. ROE improved from 2021 to 2022 but then slightly deteriorated from 2022 to 2023. |
Return on Assets (ROA)
Based on: 10-K (reporting date: 2023-06-30), 10-K (reporting date: 2022-06-30), 10-K (reporting date: 2021-06-30), 10-K (reporting date: 2020-06-30), 10-K (reporting date: 2019-06-30), 10-K (reporting date: 2018-06-30).
1 2023 Calculation
ROA = 100 × Net earnings attributable to Procter & Gamble (P&G) ÷ Total assets
= 100 × 14,653 ÷ 120,829 = 12.13%
Profitability ratio | Description | The company |
---|---|---|
ROA | A profitability ratio calculated as net income divided by total assets. | Procter & Gamble Co. ROA improved from 2021 to 2022 but then slightly deteriorated from 2022 to 2023 not reaching 2021 level. |