Huntington Ingalls Industries Inc (HII)
Net profit margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 550,000 | 681,000 | 579,000 | 544,000 | 696,000 |
| Revenue | US$ in thousands | 11,535,000 | 11,454,000 | 10,676,000 | 9,524,000 | 9,361,000 |
| Net profit margin | 4.77% | 5.95% | 5.42% | 5.71% | 7.44% |
December 31, 2024 calculation
Net profit margin = Net income ÷ Revenue
= $550,000K ÷ $11,535,000K
= 4.77%
Based on the provided data, Huntington Ingalls Industries Inc's net profit margin has shown a gradual decrease over the years. As of December 31, 2020, the company's net profit margin stood at 7.44%, indicating that the company was able to generate $0.07 of profit for every dollar of revenue earned. However, by December 31, 2024, the net profit margin had declined to 4.77%, reflecting a decrease in the company's profitability efficiency.
The decreasing trend in net profit margin could be attributed to various factors such as increased operating expenses, declining revenue growth, or pricing pressures. It is essential for the company to closely monitor and address the underlying reasons for the decline in net profit margin to ensure sustainable profitability in the long run. Additionally, management may need to implement strategic cost-cutting measures, operational efficiencies, or revenue-enhancing initiatives to improve the company's profitability performance.
Peer comparison
Dec 31, 2024