Flex Ltd (FLEX)

Net profit margin

		Mar 31, 2024	Mar 31, 2023	Mar 31, 2022	Mar 31, 2021	Mar 31, 2020
Net income	US$ in thousands	1,006,000	793,000	936,000	613,000	88,000
Revenue	US$ in thousands	26,184,000	30,152,000	25,920,000	23,995,000	24,212,300
Net profit margin		3.84%	2.63%	3.61%	2.55%	0.36%

March 31, 2024 calculation

Net profit margin = Net income ÷ Revenue
= $1,006,000K ÷ $26,184,000K
= 3.84%

Flex Ltd has demonstrated a fluctuating trend in net profit margin over the past five years. The net profit margin measures the company's profitability by representing the percentage of each dollar of revenue that results in net income.

In the fiscal year ending March 31, 2024, Flex Ltd recorded a net profit margin of 3.84%, showing an improvement from the previous year. This increase indicates that the company has effectively managed its costs and expenses relative to its revenue, resulting in a higher proportion of revenue translating into net income.

Comparing it to the prior years, Flex Ltd's net profit margin was 2.63% in 2023, 3.61% in 2022, 2.55% in 2021, and 0.36% in 2020. The fluctuating trend suggests that the company has experienced varying levels of profitability efficiency over these years, possibly due to factors such as changes in revenue, costs, and operational efficiency.

Overall, Flex Ltd's net profit margin has shown improvement in the most recent fiscal year, indicating enhanced profitability. However, it is essential for the company to continue monitoring and managing its costs effectively to maintain and potentially further increase its profitability in the future.