Heritage Financial Corporation (HFWA)
Net profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 61,755 | 81,875 | 98,035 | 46,570 | 67,557 |
| Revenue | US$ in thousands | 239,930 | 259,556 | 271,408 | 202,878 | 229,727 |
| Net profit margin | 25.74% | 31.54% | 36.12% | 22.95% | 29.41% |
December 31, 2023 calculation
Net profit margin = Net income ÷ Revenue
= $61,755K ÷ $239,930K
= 25.74%
The net profit margin of Heritage Financial Corp. has displayed fluctuations over the past five years. In 2023, the net profit margin decreased to 20.37% from the previous year's 31.85%, indicating a decline in the company's profitability. The high net profit margins in 2021 (39.62%) and 2019 (26.97%) suggest that the company was more profitable during those periods compared to 2023. However, in 2020, the net profit margin was lower at 18.51%.
It is essential to further investigate the factors contributing to the fluctuating net profit margins to determine the underlying reasons for the variations in profitability over the years. Factors such as changes in operating expenses, fluctuations in revenue, or one-time events impacting the bottom line could shed light on the observed trends in Heritage Financial Corp.'s net profit margin.