The Cheesecake Factory (CAKE)

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	101,351	85,372	65,029	48,010	43,123	48,531	83,609	91,668	72,373	37,946	-23,080	-113,334	-253,365	-172,339	-127,903	-35,854	127,293	94,762	112,167	111,200
Revenue (ttm)	US$ in thousands	2,573,389	2,589,182	2,542,973	2,509,446	3,303,156	3,187,047	3,157,520	3,093,833	2,927,540	2,705,399	2,468,641	1,995,536	1,983,225	2,122,703	2,191,523	2,498,317	2,482,692	2,373,817	2,362,441	2,347,115
Net profit margin		3.94%	3.30%	2.56%	1.91%	1.31%	1.52%	2.65%	2.96%	2.47%	1.40%	-0.93%	-5.68%	-12.78%	-8.12%	-5.84%	-1.44%	5.13%	3.99%	4.75%	4.74%

December 31, 2023 calculation

Net profit margin = Net income (ttm) ÷ Revenue (ttm)
= $101,351K ÷ $2,573,389K
= 3.94%

The net profit margin of The Cheesecake Factory has fluctuated over the past few quarters, indicating variations in the company's profitability. In the most recent quarter, the net profit margin was 3.94%, showing an improvement compared to the previous quarter's 3.30%. This suggests that the company was able to generate a higher percentage of profit relative to its revenue in the most recent period.

Looking further back, the trend reveals some volatility in the net profit margin, with some quarters showing lower margins, such as -12.78% and -8.12%, indicating periods of lower profitability or even losses. However, there have also been periods of higher margins, such as 5.13% and 4.74%, demonstrating improved profitability compared to the industry average.

Analyzing the net profit margin over time can provide insights into the company's ability to control costs, manage expenses, and generate profits from its operations. It is essential for investors and stakeholders to monitor these trends closely to assess the financial health and sustainability of The Cheesecake Factory.