Archer-Daniels-Midland Company (ADM)
Net profit margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 1,800,000 | 3,483,000 | 4,340,000 | 2,709,000 | 1,772,000 |
| Revenue | US$ in thousands | 85,530,000 | 93,935,000 | 101,848,000 | 85,249,000 | 64,355,000 |
| Net profit margin | 2.10% | 3.71% | 4.26% | 3.18% | 2.75% |
December 31, 2024 calculation
Net profit margin = Net income ÷ Revenue
= $1,800,000K ÷ $85,530,000K
= 2.10%
Archer-Daniels-Midland Company's net profit margin has exhibited some fluctuations over the past five years, based on the provided data. As of December 31, 2020, the net profit margin stood at 2.75%, indicating that for every dollar of revenue generated, the company retained $0.0275 as profit after accounting for all expenses.
Subsequently, the net profit margin increased to 3.18% by December 31, 2021, signifying an improvement in the company's profitability. This positive trend continued into 2022, with the net profit margin reaching 4.26%, showcasing a significant boost in profit retention relative to revenues.
However, in the following year, by December 31, 2023, the net profit margin slightly decreased to 3.71%, although it remained relatively healthy compared to the baseline year. Finally, by December 31, 2024, the net profit margin experienced a notable decline to 2.10%, signaling a significant decrease in profitability efficiency compared to the previous year.
Overall, the fluctuation in Archer-Daniels-Midland Company's net profit margin over the five-year period suggests potential shifts in the company's cost structure, revenue streams, or efficiency levels. It would be important for stakeholders to further investigate the factors contributing to these fluctuations to assess the company's financial health and performance trajectory.
Peer comparison
Dec 31, 2024