McDonald’s Corporation (MCD)

Net profit margin

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Net income	US$ in thousands	8,223,000	8,469,000	6,177,400	7,545,200	4,730,500
Revenue	US$ in thousands	25,920,000	25,494,000	23,182,600	23,222,900	19,207,800
Net profit margin		31.72%	33.22%	26.65%	32.49%	24.63%

December 31, 2024 calculation

Net profit margin = Net income ÷ Revenue
= $8,223,000K ÷ $25,920,000K
= 31.72%

The net profit margin of McDonald's Corporation has shown fluctuations over the past five years. Starting at 24.63% in December 2020, it increased to 32.49% by December 2021, indicating improved profitability. However, in December 2022, the net profit margin decreased to 26.65%, suggesting a decrease in profitability.

There was a notable recovery in December 2023 as the net profit margin increased to 33.22%, reflecting a strong performance in generating profits relative to revenues. The margin then slightly declined to 31.72% by December 2024, still maintaining a relatively high level of profitability.

Overall, McDonald's Corporation has demonstrated a generally healthy trend in net profit margin over the years, with occasional fluctuations that may be influenced by various internal and external factors impacting the company's financial performance.