Amazon.com Inc (AMZN)
Net profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 30,425,000 | -2,722,000 | 33,364,000 | 21,331,000 | 11,588,000 |
| Revenue | US$ in thousands | 571,668,000 | 511,276,000 | 467,958,000 | 384,452,000 | 278,902,000 |
| Net profit margin | 5.32% | -0.53% | 7.13% | 5.55% | 4.15% |
December 31, 2023 calculation
Net profit margin = Net income ÷ Revenue
= $30,425,000K ÷ $571,668,000K
= 5.32%
Amazon.com Inc.'s net profit margin has shown fluctuations over the past five years. In 2023, the net profit margin improved to 5.29% compared to a negative margin of -0.53% in 2022. This indicates a significant recovery in profitability. In 2021, the company had a strong net profit margin of 7.10%, which slightly decreased to 5.53% in 2020. In 2019, the net profit margin was at 4.13%.
The positive trend in the net profit margin from 2019 to 2021 suggests improved efficiency in cost management and revenue generation. The dip in 2022 followed by a recovery in 2023 may be indicative of certain challenges or expenses faced by the company in the interim period. Overall, Amazon.com Inc.'s ability to maintain positive net profit margins, with fluctuations, showcases its ability to generate profits from its operations despite the competitive environment it operates in.
Peer comparison
Dec 31, 2023