Charles River Laboratories (CRL)

Net profit margin

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Net income	US$ in thousands	22,203	474,624	486,226	390,982	364,304
Revenue	US$ in thousands	4,120,490	4,082,940	4,098,090	3,457,220	2,939,570
Net profit margin		0.54%	11.62%	11.86%	11.31%	12.39%

December 31, 2024 calculation

Net profit margin = Net income ÷ Revenue
= $22,203K ÷ $4,120,490K
= 0.54%

The net profit margin of Charles River Laboratories has shown a gradual decline from 12.39% as of December 31, 2020, to 11.31% as of December 31, 2021, indicating a slight decrease in the company's ability to convert revenue into profits in that period. However, there was a modest improvement in the net profit margin to 11.86% as of December 31, 2022, before declining again to 11.62% as of December 31, 2023. The most significant drop occurred in the latest year, with the net profit margin plummeting to 0.54% as of December 31, 2024, suggesting a substantial decrease in profitability and efficiency in converting sales into net income. It is essential for the company to closely monitor and address this sharp decline to sustain its financial performance and ensure long-term profitability.