ANSYS Inc (ANSS)

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	575,692	567,766	495,076	434,568	500,412	483,597	524,070	553,344	523,710	468,934	458,301	453,217	454,627	467,088	457,373	460,221	433,887	384,107	397,943	411,129
Revenue (ttm)	US$ in thousands	2,544,809	2,467,743	2,324,646	2,227,107	2,269,949	2,158,956	2,172,672	2,149,923	2,065,553	2,027,105	1,995,762	1,968,566	1,906,715	1,874,734	1,800,531	1,739,538	1,681,297	1,543,839	1,520,773	1,503,747
Net profit margin		22.62%	23.01%	21.30%	19.51%	22.05%	22.40%	24.12%	25.74%	25.35%	23.13%	22.96%	23.02%	23.84%	24.91%	25.40%	26.46%	25.81%	24.88%	26.17%	27.34%

December 31, 2024 calculation

Net profit margin = Net income (ttm) ÷ Revenue (ttm)
= $575,692K ÷ $2,544,809K
= 22.62%

Net profit margin is a key financial ratio that measures a company's profitability by indicating the percentage of revenue that translates into net income after all expenses have been deducted. The net profit margin of ANSYS Inc has shown a fluctuating trend over the past few years, starting at a high of 27.34% in March 2020 and gradually declining to 22.62% by December 2024.

The company's net profit margin peaked in the first quarter of 2020, then experienced some volatility but generally decreased over the ensuing quarters. Despite some fluctuations, the net profit margin remained relatively high, indicating ANSYS Inc's ability to effectively manage its costs and generate profits.

However, the declining trend from March 2023 onwards suggests potential challenges in maintaining profitability. It is important for ANSYS Inc to closely monitor its expenses and find ways to improve operational efficiency in order to sustain or improve its net profit margin in the future.