Ingredion Incorporated (INGR)
Net profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 643,000 | 492,000 | 117,000 | 348,000 | 413,000 |
| Revenue | US$ in thousands | 8,160,000 | 7,946,000 | 6,894,000 | 5,966,000 | 6,200,000 |
| Net profit margin | 7.88% | 6.19% | 1.70% | 5.83% | 6.66% |
December 31, 2023 calculation
Net profit margin = Net income ÷ Revenue
= $643,000K ÷ $8,160,000K
= 7.88%
The net profit margin of Ingredion Inc has fluctuated over the past five years, ranging from 1.70% in 2021 to 7.88% in 2023. The net profit margin indicates the percentage of revenue that translates into profit after accounting for all expenses.
The significant improvement in the net profit margin from 2021 to 2023 demonstrates the company's ability to control costs and improve operational efficiency. This could be attributed to various factors such as strategic cost-cutting initiatives, improved productivity, or increased sales volumes.
Although there was a dip in the net profit margin in 2022, the overall trend shows a relatively stable performance in generating profits relative to revenue over the years. It is important for Ingredion Inc to continue monitoring and managing its expenses effectively to sustain or further improve its profitability in the future.
Peer comparison
Dec 31, 2023