LivaNova PLC (LIVN)
Net profit margin
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | 63,234 | 23,682 | -16,589 | -31,767 | 17,546 | 2,868 | -97,158 | -81,869 | -86,246 | -93,034 | -29,133 | -102,064 | -135,818 | -411,741 | -383,112 | -416,040 | -348,819 | -210,999 | -164,067 | -103,867 |
| Revenue (ttm) | US$ in thousands | 1,207,181 | 1,181,723 | 1,134,930 | 1,096,381 | 1,093,987 | 1,057,777 | 1,026,749 | 989,010 | 971,142 | 983,022 | 925,125 | 933,289 | 932,621 | 932,112 | 974,900 | 901,723 | 907,604 | 925,639 | 964,065 | 1,062,089 |
| Net profit margin | 5.24% | 2.00% | -1.46% | -2.90% | 1.60% | 0.27% | -9.46% | -8.28% | -8.88% | -9.46% | -3.15% | -10.94% | -14.56% | -44.17% | -39.30% | -46.14% | -38.43% | -22.79% | -17.02% | -9.78% |
December 31, 2024 calculation
Net profit margin = Net income (ttm) ÷ Revenue (ttm)
= $63,234K ÷ $1,207,181K
= 5.24%
Net profit margin is a key financial ratio that indicates the percentage of revenue that translates into net income after deducting all expenses, including taxes. Looking at the data provided for LivaNova PLC over several quarters, we can observe a fluctuating trend in the net profit margin.
From March 31, 2020, to December 31, 2021, the company experienced negative net profit margins, indicating that expenses were surpassing revenue during these periods. The margin reached its lowest point at -46.14% on March 31, 2021, reflecting significant losses compared to revenue.
However, starting from June 30, 2022, there was a noticeable improvement in the net profit margin, marking a positive shift in the company's profitability. Over the next few quarters, the margin remained negative but steadily improved, eventually turning positive at 0.27% on September 30, 2023, and further increasing to 5.24% by December 31, 2024.
This positive trend suggests that LivaNova PLC was able to control its expenses, enhance operational efficiency, or increase revenue generation during these later quarters, resulting in better profitability. The company managed to achieve a turnaround from consecutive negative margins to a positive net profit margin by the end of December 2024.
Peer comparison
Dec 31, 2024