IQVIA Holdings Inc (IQV)

Net profit margin

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Net income	US$ in thousands	1,358,000	1,091,000	966,000	279,000	191,000
Revenue	US$ in thousands	14,308,000	14,004,000	13,470,000	10,935,000	10,616,000
Net profit margin		9.49%	7.79%	7.17%	2.55%	1.80%

December 31, 2023 calculation

Net profit margin = Net income ÷ Revenue
= $1,358,000K ÷ $14,308,000K
= 9.49%

Net profit margin is a key financial metric that indicates the percentage of revenue that translates into profit after all expenses have been accounted for. In the case of IQVIA Holdings Inc, the net profit margin has shown consistent improvement over the past five years, reflecting the company's ability to effectively control costs and generate profits from its operations.

The net profit margin of IQVIA Holdings Inc has steadily increased from 1.72% in 2019 to 9.06% in 2023. This upward trend indicates the company's improving profitability over the years. In 2023, the net profit margin reached 9.06%, representing a significant increase compared to the previous years.

The improvement in net profit margin can be attributed to various factors such as efficient cost management, revenue growth, operational efficiency, and potentially favorable market conditions. A higher net profit margin indicates that IQVIA Holdings Inc is effectively converting a larger proportion of its revenue into profit, which is a positive signal for investors and stakeholders.

Overall, the increasing trend in IQVIA Holdings Inc's net profit margin demonstrates the company's strong financial performance and ability to generate healthy profits relative to its revenue in recent years. However, it is essential for investors to continue monitoring this metric along with other financial indicators to assess the overall financial health and sustainability of the company.