American Water Works (AWK)

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	1,051,000	983,000	956,000	959,000	944,000	920,000	894,000	832,000	820,000	1,318,000	1,299,000	1,288,000	1,263,000	763,000	749,000	718,000	709,000	662,000	638,000	632,000
Revenue (ttm)	US$ in thousands	4,649,000	4,503,000	4,345,000	4,293,000	4,215,000	4,124,000	4,030,000	3,872,000	3,785,000	4,558,000	4,576,000	4,636,000	4,676,000	3,922,000	3,902,000	3,820,000	3,786,000	3,724,000	3,663,000	3,637,000
Net profit margin		22.61%	21.83%	22.00%	22.34%	22.40%	22.31%	22.18%	21.49%	21.66%	28.92%	28.39%	27.78%	27.01%	19.45%	19.20%	18.80%	18.73%	17.78%	17.42%	17.38%

December 31, 2024 calculation

Net profit margin = Net income (ttm) ÷ Revenue (ttm)
= $1,051,000K ÷ $4,649,000K
= 22.61%

American Water Works has shown a consistent increase in its net profit margin over the past few years. Starting at 17.38% in March 2020, the net profit margin increased steadily to reach 22.61% by December 2024. There were fluctuations in the net profit margin during this period, with some quarters showing more significant growth than others. Notably, there was a substantial spike in the net profit margin from December 2021 to March 2022, where it increased from 27.01% to 27.78%. However, there was a slight dip in the net profit margin in the following quarters before gradually climbing back up. Overall, the trend indicates an improving profitability for American Water Works, reflecting effective cost management and revenue generation strategies.