Profitability Ratios

Ratios Formulas Year 1 Year 2

Profit Margin Net Profit ÷ Sales 40% 44.46%
Gross Profit Margin Gross Profit ÷ Sales 78.18% 79.85%
Return on Assets Net Profit ÷ Ave. Total Assets 58.72% 56.88%
Return on Equity Net Profit ÷ Ave. Equity 65.95% 69.75%

Liquidity Ratios

Ratios Formulas Year 1 Year 2

Asset Turnover Sales ÷ Ave. Total Assets 1.47 1.28
Current Ratio Current Asset ÷ Current Liability 3.33 3.85
Profitability Ratios

Year 3 Year 4 Year 5

48.10% 51.41% 54.35%
81.62% 83.20% 84.49%
58.16% 58.57% 58.23%
70.96% 70.80% 69.59%

Liquidity Ratios

Year 3 Year 4 Year 5

1.21 1.14 1.07
4.39 4.95 5.54