BorgWarner Inc (BWA)
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 | 338,000 | 897,000 | 713,000 | 614,000 | 625,000 | 725,000 | 950,000 | 962,000 | 945,000 | 820,000 | 641,000 | 672,000 | 537,000 | 766,000 | 781,000 | 436,000 | 500,000 | 362,000 | 445,000 | 715,000 |
| Revenue (ttm) | US$ in thousands | 25,729,000 | 24,766,000 | 21,544,000 | 18,850,000 | 15,825,000 | 16,484,000 | 16,848,000 | 16,082,000 | 15,805,000 | 15,319,000 | 14,706,000 | 14,749,000 | 14,878,000 | 15,140,000 | 14,258,000 | 11,904,000 | 10,171,000 | 8,803,000 | 8,757,000 | 9,881,000 |
| Net profit margin | 1.31% | 3.62% | 3.31% | 3.26% | 3.95% | 4.40% | 5.64% | 5.98% | 5.98% | 5.35% | 4.36% | 4.56% | 3.61% | 5.06% | 5.48% | 3.66% | 4.92% | 4.11% | 5.08% | 7.24% |
December 31, 2024 calculation
Net profit margin = Net income (ttm) ÷ Revenue (ttm)
= $338,000K ÷ $25,729,000K
= 1.31%
Net profit margin, a key profitability ratio, measures the percentage of revenue that translates into net income after all expenses are deducted.
Looking at the trend for BorgWarner Inc's net profit margin over the last few quarters, there are fluctuations in the percentages. The net profit margin stood at 7.24% as of March 31, 2020, showing a relatively healthy profitability level. However, it dipped to 3.26% by March 31, 2024, reflecting a decrease in the efficiency of converting revenue to profit over this period.
The company experienced ups and downs in profitability, with some quarters showing improvements followed by declines. Despite this volatility, BorgWarner Inc has maintained its net profit margin above 3% for the most part, indicating a reasonable level of profitability.
It is important for the company to closely monitor and manage its expenses and revenue generation to ensure sustained profitability levels and potential future growth.
Peer comparison
Dec 31, 2024