Leggett & Platt Incorporated (LEG)
Net profit margin
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | -136,800 | 213,300 | 231,900 | 272,900 | 309,800 | 362,500 | 388,300 | 405,300 | 402,400 | 404,900 | 414,700 | 296,400 | 253,000 | 231,800 | 224,400 | 316,700 | 333,800 | 300,000 | 290,400 | 289,200 |
| Revenue (ttm) | US$ in thousands | 4,669,900 | 4,785,800 | 4,940,100 | 5,091,100 | 5,203,900 | 5,345,700 | 5,373,000 | 5,307,800 | 5,133,700 | 4,979,500 | 4,865,900 | 4,433,300 | 4,329,000 | 4,294,100 | 4,327,500 | 4,703,600 | 4,813,000 | 4,521,700 | 4,442,600 | 4,400,000 |
| Net profit margin | -2.93% | 4.46% | 4.69% | 5.36% | 5.95% | 6.78% | 7.23% | 7.64% | 7.84% | 8.13% | 8.52% | 6.69% | 5.84% | 5.40% | 5.19% | 6.73% | 6.94% | 6.63% | 6.54% | 6.57% |
December 31, 2023 calculation
Net profit margin = Net income (ttm) ÷ Revenue (ttm)
= $-136,800K ÷ $4,669,900K
= -2.93%
Net profit margin, which is a key profitability ratio, measures the percentage of each dollar of revenue that translates into profit after all expenses have been deducted. Looking at the trend of Leggett & Platt, Inc.'s net profit margin over the past eight quarters, we observe a downward trajectory.
In Q4 2022, the net profit margin stood at 6.02%, and it has been declining steadily, reaching its lowest point of -2.90% in Q4 2023. This negative value is concerning as it indicates that the company experienced a loss in that particular quarter. However, it rebounded in Q3 2023 to 4.44%, showing some improved profitability compared to the previous quarter.
Overall, the trend suggests that Leggett & Platt, Inc. has faced challenges in maintaining consistent profitability over the past two years. The significant fluctuations in the net profit margin may indicate issues with cost management, revenue generation, or both. Further analysis of the company's financial statements and operating activities is needed to identify the root causes of these fluctuations and assess the company's overall financial health.
Peer comparison
Dec 31, 2023