Group 1 Automotive Inc (GPI)

Net profit margin

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Net income	US$ in thousands	601,600	751,500	552,100	286,500	174,000
Revenue	US$ in thousands	17,760,600	16,137,600	13,416,000	10,768,700	11,964,300
Net profit margin		3.39%	4.66%	4.12%	2.66%	1.45%

December 31, 2023 calculation

Net profit margin = Net income ÷ Revenue
= $601,600K ÷ $17,760,600K
= 3.39%

The net profit margin of Group 1 Automotive, Inc. has shown a fluctuating trend over the past five years. In 2019, the net profit margin was at its lowest point at 1.39%, indicating that for every dollar generated in revenue, the company retained $0.0139 as profit.

Over the following years, there was an upward trend in the net profit margin, reaching its peak in 2022 at 4.50%. This improvement suggests that the company was able to increase profitability relative to its revenue during this period.

However, in 2023, there was a slight decline in the net profit margin to 3.28%. This decrease could be attributed to various factors such as changes in costs, pricing strategies, or economic conditions affecting the industry in which Group 1 Automotive operates.

Overall, the fluctuation in the net profit margin indicates that the company has been able to manage its costs and improve profitability over the years, albeit with some variation in performance. Continued monitoring and analysis of the net profit margin will be essential for assessing the company's financial health and performance in the future.