Louisiana-Pacific Corporation (LPX)
Net profit margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 420,000 | 178,000 | 1,086,000 | 1,377,000 | 499,000 |
| Revenue | US$ in thousands | 2,941,000 | 2,581,000 | 3,854,000 | 3,915,000 | 2,399,000 |
| Net profit margin | 14.28% | 6.90% | 28.18% | 35.17% | 20.80% |
December 31, 2024 calculation
Net profit margin = Net income ÷ Revenue
= $420,000K ÷ $2,941,000K
= 14.28%
Louisiana-Pacific Corporation's net profit margin has shown fluctuations over the years. In December 2020, the net profit margin stood at 20.80%, indicating that the company retained $0.208 in profit for every dollar of revenue generated. This margin significantly improved to 35.17% by December 2021, showcasing enhanced efficiency in cost management and revenue generation.
However, in December 2022, there was a slight decline, with the net profit margin settling at 28.18%. This drop could be attributed to various factors such as increased expenses or changes in pricing strategies. The margin experienced a more substantial decrease in December 2023, dropping to 6.90%, which may raise concerns about the company's profitability and operational effectiveness during that period.
In the most recent data available for December 2024, the net profit margin rose to 14.28%, indicating a partial recovery compared to the previous year but still below the levels seen in 2021 and 2022. Louisiana-Pacific Corporation should continue monitoring and evaluating its cost structures and revenue streams to sustain and improve its net profit margin in the future.
Peer comparison
Dec 31, 2024