Akamai Technologies Inc (AKAM)
Net profit margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 504,918 | 547,629 | 523,672 | 651,642 | 557,054 |
| Revenue | US$ in thousands | 4,022,890 | 3,826,240 | 3,631,300 | 3,409,920 | 3,151,090 |
| Net profit margin | 12.55% | 14.31% | 14.42% | 19.11% | 17.68% |
December 31, 2024 calculation
Net profit margin = Net income ÷ Revenue
= $504,918K ÷ $4,022,890K
= 12.55%
The net profit margin of Akamai Technologies Inc has shown a fluctuating trend over the five-year period from December 31, 2020, to December 31, 2024. Starting at 17.68% in 2020, the margin improved to 19.11% in 2021, indicating stronger profitability. However, from 2022 onwards, the trend reversed, with the margin decreasing to 14.42% in 2022, 14.31% in 2023, and further down to 12.55% in 2024.
This downward trend in net profit margin suggests that Akamai may be facing challenges in maintaining profitability levels or controlling costs relative to its revenue. It is crucial for the company to closely monitor and address the factors contributing to this decline to ensure sustainable financial performance in the future.
Peer comparison
Dec 31, 2024