Kontoor Brands Inc (KTB)

Net profit margin

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Net income	US$ in thousands	230,994	245,493	195,423	67,923	96,654
Revenue	US$ in thousands	2,579,340	2,604,520	2,434,200	2,097,840	2,548,840
Net profit margin		8.96%	9.43%	8.03%	3.24%	3.79%

December 31, 2023 calculation

Net profit margin = Net income ÷ Revenue
= $230,994K ÷ $2,579,340K
= 8.96%

Over the past five years, Kontoor Brands Inc has demonstrated fluctuating net profit margins. The net profit margin, which reflects the company's profitability after all expenses are deducted from revenue, stood at 8.96% in 2023, slightly lower than the 9.43% reported in 2022. This indicates a slight decline in profitability year over year.

Comparing these figures to the net profit margins of 8.03% in 2021, 3.24% in 2020, and 3.79% in 2019, it is evident that Kontoor Brands has shown notable improvement in profitability since 2020. The increase in net profit margin from 2020 to 2023 suggests that the company has been effectively managing its expenses and increasing its profitability over the years.

Although the recent dip in net profit margin from 2022 to 2023 may raise some concerns, the overall trend indicates a positive trajectory in Kontoor Brands' profitability in the medium to long term. It would be beneficial for the company to closely monitor its expenses and continue implementing strategies to enhance its profitability in the future.