The AES Corporation (AES)
Net profit margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 1,679,000 | 249,000 | -546,000 | -409,000 | 46,000 |
| Revenue | US$ in thousands | 12,278,000 | 12,668,000 | 12,617,000 | 11,141,000 | 9,660,000 |
| Net profit margin | 13.67% | 1.97% | -4.33% | -3.67% | 0.48% |
December 31, 2024 calculation
Net profit margin = Net income ÷ Revenue
= $1,679,000K ÷ $12,278,000K
= 13.67%
The net profit margin of The AES Corporation has displayed some fluctuations over the years based on the provided data. In December 31, 2020, the net profit margin stood at 0.48%, indicating that for every dollar of revenue generated, the company retained $0.0048 as profit.
However, there was a significant decline in profitability in the following years, with a negative net profit margin of -3.67% and -4.33% as of December 31, 2021 and 2022 respectively. This suggests that the company's expenses exceeded its revenue during those periods.
The situation improved in December 31, 2023, with a net profit margin of 1.97%, indicating that the company was able to generate a modest profit relative to its revenue. The most notable improvement was observed in December 31, 2024, where the net profit margin surged to 13.67%. This substantial increase suggests that the company experienced a significant boost in profitability and efficiency in its operations during that period.
Overall, the trend in The AES Corporation's net profit margin indicates variability in the company's ability to translate revenue into profits over the years, with notable improvements in recent years that reflect a potential strengthening of its financial performance.