Caterpillar Inc (CAT)
Net profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 10,335,000 | 6,705,000 | 6,489,000 | 2,998,000 | 6,093,000 |
| Revenue | US$ in thousands | 67,060,000 | 59,427,000 | 50,971,000 | 41,748,000 | 53,800,000 |
| Net profit margin | 15.41% | 11.28% | 12.73% | 7.18% | 11.33% |
December 31, 2023 calculation
Net profit margin = Net income ÷ Revenue
= $10,335,000K ÷ $67,060,000K
= 15.41%
Caterpillar Inc.'s net profit margin has shown fluctuations over the past five years. The company's net profit margin was 15.41% as of December 31, 2023, representing an increase from the previous year's margin of 11.28%. This improvement indicates that the company was able to effectively control its expenses relative to its revenue, resulting in a higher percentage of revenue being converted into net income.
Comparing to the years prior, the net profit margin was 12.73% in 2021, higher than the 2020 margin of 7.18%. This significant increase suggests a commendable operational performance in 2021. In 2019, the net profit margin was 11.33%, which is slightly lower than 2021 and 2023 but higher than 2020.
Overall, Caterpillar Inc.'s net profit margin has experienced variations, with the company showing improved profitability in recent years. This trend indicates the company's ability to efficiently manage its costs and generate higher net income in relation to its revenue.
Peer comparison
Dec 31, 2023