Arlo Technologies (ARLO)
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 | -22,036 | -44,883 | -58,198 | -62,392 | -56,626 | -41,263 | -42,026 | -53,789 | -56,029 | -64,447 | -66,708 | -72,644 | -101,251 | -66,426 | -79,557 | -83,993 | -85,951 | -144,639 | -127,274 | -111,404 |
| Revenue (ttm) | US$ in thousands | 495,885 | 478,632 | 475,901 | 479,098 | 493,340 | 517,147 | 499,348 | 478,314 | 435,648 | 407,138 | 406,300 | 374,509 | 358,206 | 365,783 | 362,185 | 379,712 | 372,177 | 371,922 | 396,887 | 423,525 |
| Net profit margin | -4.44% | -9.38% | -12.23% | -13.02% | -11.48% | -7.98% | -8.42% | -11.25% | -12.86% | -15.83% | -16.42% | -19.40% | -28.27% | -18.16% | -21.97% | -22.12% | -23.09% | -38.89% | -32.07% | -26.30% |
December 31, 2023 calculation
Net profit margin = Net income (ttm) ÷ Revenue (ttm)
= $-22,036K ÷ $495,885K
= -4.44%
Arlo Technologies Inc's net profit margin has shown a fluctuating trend over the past eight quarters. The net profit margin indicates the percentage of revenue that translates into profit after all expenses have been deducted.
In Q4 2022, the net profit margin was at its lowest point at -11.55%, which improved slightly in the following quarter (Q1 2023) to -13.09%. The improvement was short-lived as the margin further dropped to -12.31% in Q2 2023. However, there was a notable decline in profitability in Q3 2023 with a net profit margin of -9.46%.
The most recent data point, Q4 2023, reflected a further decline in profitability, with a net profit margin of -4.49%. This signifies that the company is generating a loss equivalent to 4.49% of its revenue.
Overall, the negative trend in net profit margin indicates that Arlo Technologies Inc is facing challenges in generating profits relative to its revenue. Further analysis of the company's cost structure and revenue generation may be needed to address the declining profitability.
Peer comparison
Dec 31, 2023