Asbury Automotive Group Inc (ABG)
Net profit margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 430,300 | 602,500 | 997,300 | 532,400 | 254,400 |
| Revenue | US$ in thousands | 17,188,600 | 14,802,700 | 15,433,900 | 9,837,700 | 7,131,800 |
| Net profit margin | 2.50% | 4.07% | 6.46% | 5.41% | 3.57% |
December 31, 2024 calculation
Net profit margin = Net income ÷ Revenue
= $430,300K ÷ $17,188,600K
= 2.50%
Based on the provided data, Asbury Automotive Group Inc's net profit margin has experienced fluctuations over the past five years. The net profit margin indicates the percentage of revenue that remains as profit after accounting for all expenses.
In December 2020, the net profit margin stood at 3.57%, showing the company retained $0.0357 in profit for every dollar of revenue generated. The margin increased to 5.41% by December 2021, reflecting improvements in profitability. By December 2022, the margin further expanded to 6.46%, suggesting efficient cost management and potential revenue growth.
However, the net profit margin dipped to 4.07% by December 2023, possibly due to increased expenses or changes in revenue streams. By December 2024, the margin decreased significantly to 2.50%, indicating a decline in profitability during that period.
Overall, while there have been fluctuations in Asbury Automotive Group Inc's net profit margin, the company has demonstrated the ability to adapt to changing market conditions and implement strategies to enhance profitability. Reviewing the trend over time can provide insights into the company's financial health and management effectiveness.
Peer comparison
Dec 31, 2024