Alaska Air Group Inc (ALK)
Net profit margin
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | 395,000 | 322,000 | 225,000 | 245,000 | 235,000 | 259,000 | 160,000 | 59,000 | 58,000 | 54,000 | 208,000 | 466,000 | 478,000 | 30,000 | -595,000 | -1,206,000 | -1,307,000 | -696,000 | 57,000 | 533,000 |
| Revenue (ttm) | US$ in thousands | 11,735,000 | 10,754,000 | 10,521,000 | 10,462,000 | 10,426,000 | 10,352,000 | 10,341,000 | 10,161,000 | 9,646,000 | 9,066,000 | 8,191,000 | 7,060,000 | 6,176,000 | 5,085,000 | 3,833,000 | 2,727,000 | 3,566,000 | 4,986,000 | 6,674,000 | 8,541,000 |
| Net profit margin | 3.37% | 2.99% | 2.14% | 2.34% | 2.25% | 2.50% | 1.55% | 0.58% | 0.60% | 0.60% | 2.54% | 6.60% | 7.74% | 0.59% | -15.52% | -44.22% | -36.65% | -13.96% | 0.85% | 6.24% |
December 31, 2024 calculation
Net profit margin = Net income (ttm) ÷ Revenue (ttm)
= $395,000K ÷ $11,735,000K
= 3.37%
Alaska Air Group Inc's net profit margin has shown fluctuating trends over the analyzed period. The margin was at 6.24% as of March 31, 2020, indicating a healthy profitability level. However, it experienced a significant decline to 0.85% by June 30, 2020. Over the next few quarters, the company's profitability deteriorated further, with negative margins reported in September and December 2020, and even lower at -44.22% by March 31, 2021.
From June 2021 to June 2022, there was a gradual improvement in net profit margin, although it remained relatively low. The margin returned to positive territory starting in September 2021, at 0.59%, and continued to increase to 3.37% by December 31, 2024. This suggests a recovery in profitability, with the company effectively managing its expenses and increasing revenue streams.
Overall, the improvement in net profit margin from negative figures to positive percentages reflects Alaska Air Group Inc's efforts to enhance operational efficiency and streamline its business processes in the latter part of the analyzed period. Continued focus on cost control and revenue generation will be essential for sustaining and further improving profitability in the future.
Peer comparison
Dec 31, 2024