Enphase Energy Inc (ENPH)

Net profit margin

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Net income	US$ in thousands	102,658	438,936	397,362	145,449	133,995
Revenue	US$ in thousands	1,330,380	2,290,790	2,330,850	1,382,050	774,425
Net profit margin		7.72%	19.16%	17.05%	10.52%	17.30%

December 31, 2024 calculation

Net profit margin = Net income ÷ Revenue
= $102,658K ÷ $1,330,380K
= 7.72%

Based on the data provided, Enphase Energy Inc's net profit margin has experienced fluctuations over the years.

In 2020, the net profit margin stood at 17.30%, indicating that the company was able to retain approximately 17.30% of its total revenue as net profit after accounting for all expenses.

However, in the following year, 2021, the net profit margin decreased to 10.52%. This decline might suggest that the company's profitability decreased due to factors such as increased expenses or lower revenue relative to the previous year.

In 2022, the net profit margin improved to 17.05%, showing a rebound in profitability. This improvement could be attributed to cost-cutting measures, revenue growth, or operational efficiencies that positively impacted the company's bottom line.

The trend continued in 2023, with the net profit margin increasing further to 19.16%. This significant improvement suggests that Enphase Energy Inc was able to generate higher profits relative to its revenue during that period.

However, in 2024, the net profit margin dropped to 7.72%, marking a notable decrease compared to the previous year. This decline might raise concerns about the company's ability to maintain its profit margins amidst changing market conditions or internal challenges.

Overall, Enphase Energy Inc's net profit margin has shown fluctuations over the years, indicating varying levels of profitability. It would be essential for stakeholders to further investigate the reasons behind these fluctuations to assess the company's financial performance effectively.