Aecom Technology Corporation (ACM)

Net profit margin

Sep 30, 2023 Sep 30, 2022 Sep 30, 2021 Sep 30, 2020 Sep 30, 2019
Net income US$ in thousands 55,332 310,611 173,185 -186,370 -261,050
Revenue US$ in thousands 14,378,500 13,148,200 13,340,900 13,240,000 13,642,500
Net profit margin 0.38% 2.36% 1.30% -1.41% -1.91%

September 30, 2023 calculation

Net profit margin = Net income ÷ Revenue
= $55,332K ÷ $14,378,500K
= 0.38%

The net profit margin is a key financial ratio that measures the percentage of each dollar of revenue that translates into profit after all expenses are deducted. A higher net profit margin indicates more efficient management of costs and higher profitability.

Based on the data provided for AECOM, the net profit margin has fluctuated over the past five years.

- In the most recent fiscal year, ending on September 30, 2023, the net profit margin stands at 0.38%. This represents a significant decrease from the previous year's net profit margin of 2.36%.
- Comparing these results to the fiscal year of 2021, there was a substantial increase as the net profit margin stood at 1.30%.
- However, in fiscal years 2020 and 2019, AECOM experienced negative net profit margins of -1.41% and -1.29% respectively.

These fluctuations in net profit margin indicate a degree of volatility in AECOM's profitability over the past five years. A significant increase in the net profit margin from 2021 to 2022 was followed by a sharp decline in 2023.

The decrease in the net profit margin in 2023 may imply a variety of factors such as increased operating expenses, higher cost of goods sold, or a decline in revenue growth compared to the previous year.

Investors and analysts should closely monitor AECOM's future financial performance and consider the company's ability to manage costs effectively in relation to its revenue generation. The net profit margin trend reflects AECOM's overall ability to generate profits from its operations, thus it is a key metric for evaluating the company's financial health.


Peer comparison

Sep 30, 2023

Company name
Symbol
Net profit margin
Aecom Technology Corporation
ACM
0.38%
Tetra Tech Inc
TTEK
6.12%