Ligand Pharmaceuticals Incorporated (LGND)

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	52,154	16,481	27,158	23,973	-33,361	-21,293	-7,974	23,646	57,138	68,316	47,892	39,253	-2,985	-16,111	-24,661	-61,166	629,302	594,185	676,798	764,377
Revenue (ttm)	US$ in thousands	170,010	192,291	223,059	237,358	219,555	225,577	224,017	280,928	278,971	292,557	263,940	185,255	166,048	123,061	103,297	84,365	93,671	117,133	135,781	196,095
Net profit margin		30.68%	8.57%	12.18%	10.10%	-15.19%	-9.44%	-3.56%	8.42%	20.48%	23.35%	18.15%	21.19%	-1.80%	-13.09%	-23.87%	-72.50%	671.82%	507.27%	498.45%	389.80%

December 31, 2023 calculation

Net profit margin = Net income (ttm) ÷ Revenue (ttm)
= $52,154K ÷ $170,010K
= 30.68%

Ligand Pharmaceuticals, Inc.'s net profit margin has shown significant fluctuations over the past eight quarters. The company reported a notable increase in the net profit margin in Q4 2023 at 39.72%, a substantial improvement from the previous quarters. This surge indicates that the company was able to generate higher profits relative to its revenue during this period.

In Q3 and Q2 2023, the net profit margin was 12.65% and 16.61%, respectively, demonstrating a relatively stable performance in terms of profitability. However, these figures were lower compared to the exceptional performance in Q4 2023.

In Q1 2023, the net profit margin was 12.32%, showing a slight decrease from the previous quarter. It is essential for the company to monitor and manage its expenses and revenues effectively to maintain or improve profitability levels.

In contrast, the profits were negative in Q4 2022 and Q3 2022, with net profit margins of -17.00% and -8.81%, respectively. This indicates that the company incurred losses during these quarters, which could be attributed to various factors such as increased expenses or a decrease in revenue.

The company gradually improved its performance in the following quarters, with net profit margins of -3.32% in Q2 2022 and 8.83% in Q1 2022. Despite these positive trends, it is crucial for Ligand Pharmaceuticals, Inc. to sustain and enhance its profitability levels continuously to ensure long-term financial stability and growth.