Commercial Metals Company (CMC)
Net profit margin
| Aug 31, 2023 | Aug 31, 2022 | Aug 31, 2021 | Aug 31, 2020 | Aug 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 859,760 | 1,217,260 | 412,865 | 279,503 | 198,093 |
| Revenue | US$ in thousands | 8,759,230 | 9,122,140 | 6,669,820 | 5,420,640 | 5,761,080 |
| Net profit margin | 9.82% | 13.34% | 6.19% | 5.16% | 3.44% |
August 31, 2023 calculation
Net profit margin = Net income ÷ Revenue
= $859,760K ÷ $8,759,230K
= 9.82%
The net profit margin is a measure of a company's profitability, indicating the percentage of each dollar of revenue that translates into profit. Commercial Metals Co.'s net profit margin has shown fluctuation over the past five years. In 2023, the net profit margin was 9.77%, down from 13.66% in 2022 but still higher than the 6.13% in 2021. This indicates a decline in profitability compared to the prior year. However, the company's net profit margin has generally trended upwards since 2019, reflecting improved profitability. The increase in net profit margin from 3.40% in 2019 to 9.77% in 2023 suggests an upward trajectory in the company's ability to convert sales into profits, although the recent decrease may warrant further investigation.
Peer comparison
Aug 31, 2023