Merck & Company Inc (MRK)
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 | 365,000 | 4,608,000 | 3,111,000 | 13,030,000 | 14,519,000 | 15,260,000 | 16,579,000 | 14,180,000 | 13,049,000 | 7,197,000 | 5,571,000 | 7,028,000 | 7,068,000 | 11,518,000 | 10,478,000 | 10,146,000 | 9,842,000 | 9,313,000 | 9,362,000 | 8,399,000 |
| Revenue (ttm) | US$ in thousands | 60,114,000 | 59,314,000 | 58,311,000 | 57,869,000 | 59,283,000 | 58,974,000 | 57,169,000 | 53,978,000 | 48,704,000 | 46,131,000 | 43,906,000 | 41,857,000 | 43,287,000 | 36,488,000 | 37,956,000 | 40,363,000 | 39,122,000 | 45,971,000 | 44,368,000 | 43,073,000 |
| Net profit margin | 0.61% | 7.77% | 5.34% | 22.52% | 24.49% | 25.88% | 29.00% | 26.27% | 26.79% | 15.60% | 12.69% | 16.79% | 16.33% | 31.57% | 27.61% | 25.14% | 25.16% | 20.26% | 21.10% | 19.50% |
December 31, 2023 calculation
Net profit margin = Net income (ttm) ÷ Revenue (ttm)
= $365,000K ÷ $60,114,000K
= 0.61%
Based on the provided data, the net profit margin of Merck & Co Inc has fluctuated over the past eight quarters. The net profit margin is calculated as a percentage of net income to total revenue, indicating the company's efficiency in converting sales into profits after accounting for all expenses.
In Q4 2023, the net profit margin was 0.61%, which is notably lower compared to the previous quarter at 7.77% in Q3 2023. This significant decrease may raise concerns about the company's ability to manage costs and generate profits in the most recent quarter.
The highest net profit margin was recorded in Q1 2023 at 22.52%, which indicates strong profitability during that period. However, the margin has been on a declining trend since then, with Q4 2022 marking the highest point at 24.49%.
Overall, the net profit margin trend for Merck & Co Inc shows variability with some quarters performing better than others. It is essential for the company to closely monitor its cost structure, revenue generation, and overall efficiency to ensure sustainable profitability in the long run.
Peer comparison
Dec 31, 2023