Alamo Group Inc (ALG)
Net profit margin
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | 136,161 | 133,803 | 124,709 | 116,807 | 101,928 | 91,990 | 83,688 | 81,253 | 80,245 | 69,098 | 71,612 | 58,564 | 56,630 | 58,118 | 55,503 | 63,181 | 62,906 | 69,927 | 76,052 | 74,156 |
| Revenue (ttm) | US$ in thousands | 1,689,163 | 1,650,337 | 1,602,481 | 1,561,649 | 1,513,482 | 1,458,602 | 1,429,194 | 1,380,865 | 1,330,676 | 1,290,046 | 1,242,693 | 1,162,691 | 1,163,174 | 1,167,345 | 1,149,039 | 1,167,596 | 1,118,586 | 1,073,880 | 1,060,061 | 1,032,438 |
| Net profit margin | 8.06% | 8.11% | 7.78% | 7.48% | 6.73% | 6.31% | 5.86% | 5.88% | 6.03% | 5.36% | 5.76% | 5.04% | 4.87% | 4.98% | 4.83% | 5.41% | 5.62% | 6.51% | 7.17% | 7.18% |
December 31, 2023 calculation
Net profit margin = Net income (ttm) ÷ Revenue (ttm)
= $136,161K ÷ $1,689,163K
= 8.06%
Alamo Group Inc.'s net profit margin has shown a consistent improvement over the past eight quarters. The margin has been gradually increasing from 5.87% in Q1 2022 to 8.06% in Q4 2023. This upward trend indicates that the company has been effectively managing its costs and increasing its profitability relative to its revenue.
The net profit margin measures the percentage of each dollar of revenue that translates into profit after all expenses are deducted. Alamo Group Inc.'s steadily increasing net profit margin suggests that the company has been able to control its costs and operate more efficiently.
The improvement in net profit margin over the quarters reflects positively on Alamo Group Inc.'s financial performance and ability to generate profits from its operations. It indicates that the company is effectively managing its expenses and maximizing its profitability, which can be a favorable sign for investors and stakeholders.
Overall, the trend of increasing net profit margins for Alamo Group Inc. demonstrates the company's ability to generate higher profits relative to its revenue, which is a key indicator of financial health and operational efficiency.
Peer comparison
Dec 31, 2023