Harmony Biosciences Holdings (HRMY)

Net profit margin

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Net income	US$ in thousands	145,493	128,853	181,468	34,597	-36,944
Revenue	US$ in thousands	714,734	548,499	419,060	255,101	134,691
Net profit margin		20.36%	23.49%	43.30%	13.56%	-27.43%

December 31, 2024 calculation

Net profit margin = Net income ÷ Revenue
= $145,493K ÷ $714,734K
= 20.36%

Net profit margin is a key financial metric that indicates a company's profitability by measuring the percentage of revenue that ultimately translates into net income. Harmony Biosciences Holdings' net profit margin has exhibited a fluctuating trend over the years as per the provided data. In December 31, 2020, the net profit margin was negative at -27.43%, indicating that the company experienced a loss as its expenses exceeded its revenue. However, by December 31, 2021, the net profit margin improved significantly to 13.56%, reflecting a positive turnaround in profitability.

Subsequently, in December 31, 2022, Harmony Biosciences Holdings achieved a robust net profit margin of 43.30%, showcasing a substantial increase in profitability relative to the previous year. However, the net profit margin dipped to 23.49% by December 31, 2023, indicating a slight decline in profitability. By December 31, 2024, the net profit margin stood at 20.36%, which, although lower than the peak in 2022, still demonstrates a healthy level of profitability for the company.

Overall, Harmony Biosciences Holdings' net profit margin trajectory indicates varying levels of profitability over the years, with notable improvements and fluctuations. It is essential for the company to monitor and manage its expenses effectively to sustain and enhance its profitability in the long term.