Chemed Corp (CHE)

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	272,509	244,582	226,497	239,576	249,624	262,123	277,253	267,319	268,550	307,677	303,396	328,975	319,466	271,294	262,519	231,147	219,923	208,671	200,973	205,215
Revenue (ttm)	US$ in thousands	2,264,417	2,225,159	2,187,099	2,164,571	2,134,963	2,129,287	2,141,482	2,142,450	2,139,261	2,131,572	2,121,202	2,091,145	2,079,583	2,068,618	2,020,934	1,992,319	1,938,555	1,873,739	1,837,277	1,805,506
Net profit margin		12.03%	10.99%	10.36%	11.07%	11.69%	12.31%	12.95%	12.48%	12.55%	14.43%	14.30%	15.73%	15.36%	13.11%	12.99%	11.60%	11.34%	11.14%	10.94%	11.37%

December 31, 2023 calculation

Net profit margin = Net income (ttm) ÷ Revenue (ttm)
= $272,509K ÷ $2,264,417K
= 12.03%

Chemed Corp.'s net profit margin has shown fluctuations over the past eight quarters, ranging from a low of 10.36% in Q2 2023 to a high of 12.95% in Q2 2022. The net profit margin measures the percentage of revenue that translates into profit after accounting for all expenses. A higher net profit margin indicates better efficiency in controlling costs and generating profit from sales. The trend in Chemed Corp.'s net profit margin shows some variability, potentially influenced by factors such as changes in revenue, operating expenses, or one-time events impacting profitability. Overall, maintaining a net profit margin above 10% is considered respectable and signifies the company's ability to generate profit relative to its revenue.