Columbia Sportswear Company (COLM)

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	251,400	283,750	291,992	290,805	311,440	342,711	331,524	365,045	354,108	292,903	255,091	163,700	108,013	126,282	182,789	256,525	330,489	329,724	310,618	297,326
Revenue (ttm)	US$ in thousands	3,508,867	3,617,807	3,586,986	3,545,274	3,486,171	3,445,691	3,294,837	3,281,517	3,141,308	2,921,771	2,812,935	2,558,932	2,501,554	2,540,798	2,746,499	2,956,098	3,042,478	3,005,209	2,894,217	2,849,626
Net profit margin		7.16%	7.84%	8.14%	8.20%	8.93%	9.95%	10.06%	11.12%	11.27%	10.02%	9.07%	6.40%	4.32%	4.97%	6.66%	8.68%	10.86%	10.97%	10.73%	10.43%

December 31, 2023 calculation

Net profit margin = Net income (ttm) ÷ Revenue (ttm)
= $251,400K ÷ $3,508,867K
= 7.16%

The net profit margin of Columbia Sportswear Co. has shown a declining trend over the past eight quarters. Starting at 11.19% in Q1 2022, the net profit margin has gradually decreased to 7.21% in Q4 2023. This indicates that the company's profitability in relation to its revenue has been decreasing over time.

The decreasing trend could be attributed to various factors such as increased costs, pricing pressures, or changes in the competitive landscape. Management should closely monitor and address these factors to improve the company's profitability in the future quarters. Additionally, an analysis of the company's cost structure, pricing strategies, and overall operational efficiency may help in identifying areas for improvement to reverse the declining trend in net profit margin.