ITT Inc (ITT)
Net profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 410,500 | 367,000 | 316,300 | 72,500 | 325,100 |
| Revenue | US$ in thousands | 3,283,000 | 2,987,700 | 2,765,000 | 2,477,800 | 2,846,400 |
| Net profit margin | 12.50% | 12.28% | 11.44% | 2.93% | 11.42% |
December 31, 2023 calculation
Net profit margin = Net income ÷ Revenue
= $410,500K ÷ $3,283,000K
= 12.50%
ITT Inc's net profit margin has been relatively stable and healthy over the past five years, ranging from 2.93% to 12.50%. The company's net profit margin for the most recent year, 12.50%, indicates that ITT Inc is able to efficiently convert its revenue into profits, with 12.50 cents of every dollar in revenue translating into profit.
The gradual increase in net profit margin from 2019 to 2021 suggests improvements in the company's cost management and operational efficiency. Despite a slight dip in 2022, the margin remained strong at 12.28%. This stability indicates that ITT Inc has been able to sustain its profitability levels over the years.
It is important to note that a higher net profit margin indicates better profitability and financial health for the company, as it reflects the proportion of revenue that ultimately translates into profit after accounting for all expenses. Overall, ITT Inc's consistent net profit margin performance demonstrates its ability to effectively manage costs and generate profits.
Peer comparison
Dec 31, 2023