American Electric Power Company Inc (AEP)

Net profit margin

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Net income	US$ in thousands	2,208,100	2,307,200	2,488,100	2,200,100	1,921,100
Revenue	US$ in thousands	18,982,300	19,639,500	16,792,000	14,918,500	15,561,400
Net profit margin		11.63%	11.75%	14.82%	14.75%	12.35%

December 31, 2023 calculation

Net profit margin = Net income ÷ Revenue
= $2,208,100K ÷ $18,982,300K
= 11.63%

The net profit margin of American Electric Power Company Inc. has shown some fluctuations over the past five years. In 2023, the net profit margin decreased slightly to 11.63% from 11.75% in 2022. However, compared to 2021 and 2020 where the net profit margin was at 14.82% and 14.75% respectively, the company's profitability has shown a decline. The trend indicates that the company experienced a peak net profit margin in 2021, followed by a slight decline in 2022 and a further decrease in 2023. Nonetheless, the net profit margin in 2023 remains higher than that of 2019, which was at 12.35%. This analysis suggests that American Electric Power Company Inc. has maintained a relatively healthy level of profitability over the past five years, with some variability in recent years.