Innospec Inc (IOSP)
Net profit margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 33,200 | 139,000 | 133,000 | 93,000 | 28,600 |
| Revenue | US$ in thousands | 1,845,600 | 1,948,800 | 1,963,700 | 1,483,400 | 1,192,300 |
| Net profit margin | 1.80% | 7.13% | 6.77% | 6.27% | 2.40% |
December 31, 2024 calculation
Net profit margin = Net income ÷ Revenue
= $33,200K ÷ $1,845,600K
= 1.80%
Innospec Inc's net profit margin has shown fluctuations over the years based on the provided data. The margin increased from 2.40% in December 2020 to 6.27% in December 2021, indicating an improvement in profitability. Subsequently, the net profit margin continued to rise to 6.77% in December 2022 and further to 7.13% in December 2023, reflecting the company's ability to generate more profits relative to its revenue.
However, there was a notable decline in the net profit margin in December 2024, dropping to 1.80%. This significant decrease suggests a potential decrease in profitability efficiency compared to the previous years. It would be essential for stakeholders and management to investigate the factors contributing to this decline and take necessary actions to address any underlying issues to sustain and enhance profitability in the future. The fluctuation in net profit margin highlights the importance of continual monitoring and analysis of financial performance metrics in evaluating the overall health and effectiveness of the company's operations.
Peer comparison
Dec 31, 2024