Liquidity Services Inc (LQDT)

Net profit margin

		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	Dec 31, 2019
Net income (ttm)	US$ in thousands	19,991	19,896	20,383	18,919	20,979	23,044	32,965	40,690	40,325	64,736	56,747	50,037	50,949	23,731	15,525	6,027	-3,683	-14,384	-19,246	-19,370
Revenue (ttm)	US$ in thousands	367,189	340,090	327,239	317,224	317,482	311,747	299,959	286,259	280,398	275,343	275,513	269,007	258,140	243,702	221,755	213,011	206,885	209,785	219,114	223,264
Net profit margin		5.44%	5.85%	6.23%	5.96%	6.61%	7.39%	10.99%	14.21%	14.38%	23.51%	20.60%	18.60%	19.74%	9.74%	7.00%	2.83%	-1.78%	-6.86%	-8.78%	-8.68%

September 30, 2024 calculation

Net profit margin = Net income (ttm) ÷ Revenue (ttm)
= $19,991K ÷ $367,189K
= 5.44%

Liquidity Services Inc's net profit margin has shown fluctuations over the past few periods. The company's net profit margin has ranged from -8.68% to 23.51% over the last two years.

In recent quarters, there has been a general declining trend in the net profit margin, with a peak of 23.51% in the third quarter of 2022, followed by a downward trend reaching 5.44% in the third quarter of 2024. This decline indicates that the company may be experiencing challenges in maintaining profitability.

It is important for stakeholders to closely monitor the company's cost management, revenue generation, and overall efficiency to ensure sustainable profitability in the future. Additionally, analyzing the factors influencing the net profit margin, such as changes in operating expenses, revenue growth, and pricing strategies, can provide insights into the company's financial performance and potential areas for improvement.