Abbott Laboratories (ABT)
Net profit margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 13,402,000 | 5,723,000 | 6,933,000 | 7,071,000 | 4,495,000 |
| Revenue | US$ in thousands | 41,950,000 | 40,109,000 | 43,653,000 | 43,075,000 | 34,608,000 |
| Net profit margin | 31.95% | 14.27% | 15.88% | 16.42% | 12.99% |
December 31, 2024 calculation
Net profit margin = Net income ÷ Revenue
= $13,402,000K ÷ $41,950,000K
= 31.95%
Net profit margin is a key financial metric that indicates the percentage of revenue that translates into profit after all expenses have been deducted. Over the five-year period from December 31, 2020, to December 31, 2024, Abbott Laboratories has demonstrated varying levels of profitability.
The net profit margin for Abbott Laboratories increased from 12.99% in December 31, 2020, to 31.95% in December 31, 2024. This substantial increase indicates significant efficiency in managing expenses and generating profits relative to revenue. However, it's important to note that the net profit margin fluctuated between 2021 and 2023, reaching a peak of 16.42% in 2021 before declining to 14.27% in 2023.
Overall, Abbott Laboratories has shown an upward trend in net profit margin, signifying improving profitability and operational effectiveness. This suggests that the company has been successful in controlling costs and increasing operational efficiency, ultimately leading to higher levels of profitability in recent years.
Peer comparison
Dec 31, 2024