Freshpet Inc (FRPT)
Net profit margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 46,925 | -33,614 | -55,763 | -27,694 | -3,188 |
| Revenue | US$ in thousands | 975,177 | 766,895 | 595,344 | 425,489 | 318,790 |
| Net profit margin | 4.81% | -4.38% | -9.37% | -6.51% | -1.00% |
December 31, 2024 calculation
Net profit margin = Net income ÷ Revenue
= $46,925K ÷ $975,177K
= 4.81%
The net profit margin of Freshpet Inc has exhibited notable fluctuations over the observed period from December 31, 2020, to December 31, 2024. At the end of 2020, the company reported a negative net profit margin of -1.00%, indicating marginal unprofitable operations. This negative margin widened significantly in 2021 to -6.51%, and further declined in 2022 to -9.37%, reflecting increasing operational or cost challenges impacting overall profitability during these years.
However, in 2023, the net profit margin improved to -4.38%, suggesting a reduction in losses and a potential beginning of operational stabilization or cost management improvements. Most notably, by December 31, 2024, Freshpet Inc transitioned to a positive net profit margin of 4.81%, marking a significant turnaround from previous years of losses. This positive margin indicates that the company achieved profitability on its net income basis in 2024, reflecting a pivotal shift in financial performance and potential operational efficiencies or revenue growth.
Overall, the trend depicts a transition from persistent losses towards profitability within this period, highlighting an improving financial trajectory for Freshpet Inc in recent years.
Peer comparison
Dec 31, 2024