Altair Engineering Inc (ALTR)
Net profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | -8,926 | -43,429 | -8,794 | -10,500 | -7,542 |
| Revenue | US$ in thousands | 608,222 | 563,439 | 519,011 | 458,323 | 458,915 |
| Net profit margin | -1.47% | -7.71% | -1.69% | -2.29% | -1.64% |
December 31, 2023 calculation
Net profit margin = Net income ÷ Revenue
= $-8,926K ÷ $608,222K
= -1.47%
Altair Engineering Inc's net profit margin has fluctuated over the past five years, ranging from -7.71% in 2022 to -1.47% in 2023. The net profit margin represents the company's profitability after all expenses have been deducted from revenue, expressed as a percentage of total revenue. A negative net profit margin indicates that the company's expenses exceed its revenue, resulting in a loss.
The negative trend in net profit margins indicates that Altair Engineering Inc has struggled to generate consistent profits relative to its revenue over the past five years. This may be a concern for investors and stakeholders as it suggests the company has not been effectively controlling its expenses or maximizing its profitability. Further analysis of the company's cost structure and revenue generation strategies may be needed to address the sustained negative trend in net profit margin.
Peer comparison
Dec 31, 2023