Stock Analysis on Net
Stock Analysis on Net

Generac Holdings Inc. (NYSE:GNRC)

This company has been moved to the archive! The financial data has not been updated since August 8, 2022.

DuPont Analysis: Disaggregation of ROE, ROA, and Net Profit Margin 
Quarterly Data

Microsoft Excel

Decomposing ROE involves expressing net income divided by shareholders’ equity as the product of component ratios.

Two-Component Disaggregation of ROE

Generac Holdings Inc., decomposition of ROE (quarterly data)

Microsoft Excel
ROE = ROA × Financial Leverage
Jun 30, 2022 22.52% = 9.95% × 2.26
Mar 31, 2022 22.33% = 10.00% × 2.23
Dec 31, 2021 24.87% = 11.29% × 2.20
Sep 30, 2021 29.89% = 12.99% × 2.30
Jun 30, 2021 31.16% = 13.92% × 2.24
Mar 31, 2021 29.85% = 13.30% × 2.24
Dec 31, 2020 25.22% = 10.84% × 2.33
Sep 30, 2020 24.00% = 9.93% × 2.42
Jun 30, 2020 23.30% = 9.24% × 2.52
Mar 31, 2020 24.58% = 9.48% × 2.59
Dec 31, 2019 24.41% = 9.45% × 2.58
Sep 30, 2019 27.61% = 9.94% × 2.78
Jun 30, 2019 29.81% = 10.23% × 2.91
Mar 31, 2019 31.01% = 10.08% × 3.08
Dec 31, 2018 31.33% = 9.82% × 3.19
Sep 30, 2018 34.93% = 10.45% × 3.34
Jun 30, 2018 33.68% = 9.41% × 3.58
Mar 31, 2018 31.61% = 8.67% × 3.64
Dec 31, 2017 28.48% = 7.89% × 3.61
Sep 30, 2017 — = — × 4.23
Jun 30, 2017 — = — × 4.41
Mar 31, 2017 — = — × 4.44

Based on: 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-K (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30), 10-Q (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31).

The primary reason for the increase in return on equity ratio (ROE) over Q2 2022 is the increase in financial leverage ratio.

Three-Component Disaggregation of ROE

Generac Holdings Inc., decomposition of ROE (quarterly data)

Microsoft Excel
ROE = Net Profit Margin × Asset Turnover × Financial Leverage
Jun 30, 2022 22.52% = 12.28% × 0.81 × 2.26
Mar 31, 2022 22.33% = 12.68% × 0.79 × 2.23
Dec 31, 2021 24.87% = 14.73% × 0.77 × 2.20
Sep 30, 2021 29.89% = 15.52% × 0.84 × 2.30
Jun 30, 2021 31.16% = 16.18% × 0.86 × 2.24
Mar 31, 2021 29.85% = 16.16% × 0.82 × 2.24
Dec 31, 2020 25.22% = 14.11% × 0.77 × 2.33
Sep 30, 2020 24.00% = 12.75% × 0.78 × 2.42
Jun 30, 2020 23.30% = 11.55% × 0.80 × 2.52
Mar 31, 2020 24.58% = 11.39% × 0.83 × 2.59
Dec 31, 2019 24.41% = 11.43% × 0.83 × 2.58
Sep 30, 2019 27.61% = 11.85% × 0.84 × 2.78
Jun 30, 2019 29.81% = 12.07% × 0.85 × 2.91
Mar 31, 2019 31.01% = 11.92% × 0.85 × 3.08
Dec 31, 2018 31.33% = 11.77% × 0.83 × 3.19
Sep 30, 2018 34.93% = 12.52% × 0.84 × 3.34
Jun 30, 2018 33.68% = 11.27% × 0.83 × 3.58
Mar 31, 2018 31.61% = 10.35% × 0.84 × 3.64
Dec 31, 2017 28.48% = 9.53% × 0.83 × 3.61
Sep 30, 2017 — = — × — × 4.23
Jun 30, 2017 — = — × — × 4.41
Mar 31, 2017 — = — × — × 4.44

Based on: 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-K (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30), 10-Q (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31).

The primary reason for the increase in return on equity ratio (ROE) over Q2 2022 is the increase in efficiency measured by asset turnover ratio.

Five-Component Disaggregation of ROE

Generac Holdings Inc., decomposition of ROE (quarterly data)

Microsoft Excel
ROE = Tax Burden × Interest Burden × EBIT Margin × Asset Turnover × Financial Leverage
Jun 30, 2022 22.52% = 0.81 × 0.95 × 15.99% × 0.81 × 2.26
Mar 31, 2022 22.33% = 0.80 × 0.95 × 16.68% × 0.79 × 2.23
Dec 31, 2021 24.87% = 0.80 × 0.95 × 19.22% × 0.77 × 2.20
Sep 30, 2021 29.89% = 0.78 × 0.96 × 20.90% × 0.84 × 2.30
Jun 30, 2021 31.16% = 0.77 × 0.96 × 21.95% × 0.86 × 2.24
Mar 31, 2021 29.85% = 0.78 × 0.95 × 21.72% × 0.82 × 2.24
Dec 31, 2020 25.22% = 0.78 × 0.93 × 19.42% × 0.77 × 2.33
Sep 30, 2020 24.00% = 0.80 × 0.91 × 17.44% × 0.78 × 2.42
Jun 30, 2020 23.30% = 0.81 × 0.89 × 16.03% × 0.80 × 2.52
Mar 31, 2020 24.58% = 0.80 × 0.89 × 16.00% × 0.83 × 2.59
Dec 31, 2019 24.41% = 0.79 × 0.88 × 16.37% × 0.83 × 2.58
Sep 30, 2019 27.61% = 0.78 × 0.89 × 17.15% × 0.84 × 2.78
Jun 30, 2019 29.81% = 0.78 × 0.89 × 17.43% × 0.85 × 2.91
Mar 31, 2019 31.01% = 0.77 × 0.89 × 17.39% × 0.85 × 3.08
Dec 31, 2018 31.33% = 0.77 × 0.88 × 17.25% × 0.83 × 3.19
Sep 30, 2018 34.93% = 0.83 × 0.88 × 17.23% × 0.84 × 3.34
Jun 30, 2018 33.68% = 0.80 × 0.86 × 16.33% × 0.83 × 3.58
Mar 31, 2018 31.61% = 0.79 × 0.84 × 15.45% × 0.84 × 3.64
Dec 31, 2017 28.48% = 0.79 × 0.83 × 14.69% × 0.83 × 3.61
Sep 30, 2017 — = — × — × — × — × 4.23
Jun 30, 2017 — = — × — × — × — × 4.41
Mar 31, 2017 — = — × — × — × — × 4.44

Based on: 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-K (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30), 10-Q (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31).

The primary reason for the increase in return on equity ratio (ROE) over Q2 2022 is the increase in efficiency measured by asset turnover ratio.

Two-Component Disaggregation of ROA

Generac Holdings Inc., decomposition of ROA (quarterly data)

Microsoft Excel
ROA = Net Profit Margin × Asset Turnover
Jun 30, 2022 9.95% = 12.28% × 0.81
Mar 31, 2022 10.00% = 12.68% × 0.79
Dec 31, 2021 11.29% = 14.73% × 0.77
Sep 30, 2021 12.99% = 15.52% × 0.84
Jun 30, 2021 13.92% = 16.18% × 0.86
Mar 31, 2021 13.30% = 16.16% × 0.82
Dec 31, 2020 10.84% = 14.11% × 0.77
Sep 30, 2020 9.93% = 12.75% × 0.78
Jun 30, 2020 9.24% = 11.55% × 0.80
Mar 31, 2020 9.48% = 11.39% × 0.83
Dec 31, 2019 9.45% = 11.43% × 0.83
Sep 30, 2019 9.94% = 11.85% × 0.84
Jun 30, 2019 10.23% = 12.07% × 0.85
Mar 31, 2019 10.08% = 11.92% × 0.85
Dec 31, 2018 9.82% = 11.77% × 0.83
Sep 30, 2018 10.45% = 12.52% × 0.84
Jun 30, 2018 9.41% = 11.27% × 0.83
Mar 31, 2018 8.67% = 10.35% × 0.84
Dec 31, 2017 7.89% = 9.53% × 0.83
Sep 30, 2017 — = — × —
Jun 30, 2017 — = — × —
Mar 31, 2017 — = — × —

Based on: 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-K (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30), 10-Q (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31).

The primary reason for the decrease in return on assets ratio (ROA) over Q2 2022 is the decrease in profitability measured by net profit margin ratio.

Four-Component Disaggregation of ROA

Generac Holdings Inc., decomposition of ROA (quarterly data)

Microsoft Excel
ROA = Tax Burden × Interest Burden × EBIT Margin × Asset Turnover
Jun 30, 2022 9.95% = 0.81 × 0.95 × 15.99% × 0.81
Mar 31, 2022 10.00% = 0.80 × 0.95 × 16.68% × 0.79
Dec 31, 2021 11.29% = 0.80 × 0.95 × 19.22% × 0.77
Sep 30, 2021 12.99% = 0.78 × 0.96 × 20.90% × 0.84
Jun 30, 2021 13.92% = 0.77 × 0.96 × 21.95% × 0.86
Mar 31, 2021 13.30% = 0.78 × 0.95 × 21.72% × 0.82
Dec 31, 2020 10.84% = 0.78 × 0.93 × 19.42% × 0.77
Sep 30, 2020 9.93% = 0.80 × 0.91 × 17.44% × 0.78
Jun 30, 2020 9.24% = 0.81 × 0.89 × 16.03% × 0.80
Mar 31, 2020 9.48% = 0.80 × 0.89 × 16.00% × 0.83
Dec 31, 2019 9.45% = 0.79 × 0.88 × 16.37% × 0.83
Sep 30, 2019 9.94% = 0.78 × 0.89 × 17.15% × 0.84
Jun 30, 2019 10.23% = 0.78 × 0.89 × 17.43% × 0.85
Mar 31, 2019 10.08% = 0.77 × 0.89 × 17.39% × 0.85
Dec 31, 2018 9.82% = 0.77 × 0.88 × 17.25% × 0.83
Sep 30, 2018 10.45% = 0.83 × 0.88 × 17.23% × 0.84
Jun 30, 2018 9.41% = 0.80 × 0.86 × 16.33% × 0.83
Mar 31, 2018 8.67% = 0.79 × 0.84 × 15.45% × 0.84
Dec 31, 2017 7.89% = 0.79 × 0.83 × 14.69% × 0.83
Sep 30, 2017 — = — × — × — × —
Jun 30, 2017 — = — × — × — × —
Mar 31, 2017 — = — × — × — × —

Based on: 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-K (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30), 10-Q (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31).

The primary reason for the decrease in return on assets ratio (ROA) over Q2 2022 is the decrease in operating profitability measured by EBIT margin ratio.

Disaggregation of Net Profit Margin

Generac Holdings Inc., decomposition of net profit margin ratio (quarterly data)

Microsoft Excel
Net Profit Margin = Tax Burden × Interest Burden × EBIT Margin
Jun 30, 2022 12.28% = 0.81 × 0.95 × 15.99%
Mar 31, 2022 12.68% = 0.80 × 0.95 × 16.68%
Dec 31, 2021 14.73% = 0.80 × 0.95 × 19.22%
Sep 30, 2021 15.52% = 0.78 × 0.96 × 20.90%
Jun 30, 2021 16.18% = 0.77 × 0.96 × 21.95%
Mar 31, 2021 16.16% = 0.78 × 0.95 × 21.72%
Dec 31, 2020 14.11% = 0.78 × 0.93 × 19.42%
Sep 30, 2020 12.75% = 0.80 × 0.91 × 17.44%
Jun 30, 2020 11.55% = 0.81 × 0.89 × 16.03%
Mar 31, 2020 11.39% = 0.80 × 0.89 × 16.00%
Dec 31, 2019 11.43% = 0.79 × 0.88 × 16.37%
Sep 30, 2019 11.85% = 0.78 × 0.89 × 17.15%
Jun 30, 2019 12.07% = 0.78 × 0.89 × 17.43%
Mar 31, 2019 11.92% = 0.77 × 0.89 × 17.39%
Dec 31, 2018 11.77% = 0.77 × 0.88 × 17.25%
Sep 30, 2018 12.52% = 0.83 × 0.88 × 17.23%
Jun 30, 2018 11.27% = 0.80 × 0.86 × 16.33%
Mar 31, 2018 10.35% = 0.79 × 0.84 × 15.45%
Dec 31, 2017 9.53% = 0.79 × 0.83 × 14.69%
Sep 30, 2017 — = — × — × —
Jun 30, 2017 — = — × — × —
Mar 31, 2017 — = — × — × —

Based on: 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-K (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30), 10-Q (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31).

The primary reason for the decrease in net profit margin ratio over Q2 2022 is the decrease in operating profitability measured by EBIT margin ratio.