Healthcare Services Group Inc (HCSG)
Net profit margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 39,471 | 38,386 | 34,243 | 48,543 | 98,682 |
| Revenue | US$ in thousands | 1,715,680 | 1,671,390 | 1,690,180 | 1,641,960 | 1,760,300 |
| Net profit margin | 2.30% | 2.30% | 2.03% | 2.96% | 5.61% |
December 31, 2024 calculation
Net profit margin = Net income ÷ Revenue
= $39,471K ÷ $1,715,680K
= 2.30%
The net profit margin of Healthcare Services Group Inc has displayed a declining trend over the past five years. Starting at 5.61% on December 31, 2020, the margin decreased to 2.96% by December 31, 2021, and further declined to 2.03% by December 31, 2022. Although there was a slight improvement in the net profit margin to 2.30% by December 31, 2023, it remained stagnant at the same level by the end of December 31, 2024. This trend indicates that the company's profitability in relation to its revenue has weakened over the years, which could be a cause for concern and may warrant further investigation into the factors contributing to this decline.