Otis Worldwide Corp (OTIS)
Net profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|
| Net income | US$ in thousands | 1,406,000 | 1,253,000 | 1,246,000 | 906,000 |
| Revenue | US$ in thousands | 14,059,000 | 13,542,000 | 14,162,000 | 12,634,000 |
| Net profit margin | 10.00% | 9.25% | 8.80% | 7.17% |
December 31, 2023 calculation
Net profit margin = Net income ÷ Revenue
= $1,406,000K ÷ $14,059,000K
= 10.00%
The net profit margin of Otis Worldwide Corp has shown a generally increasing trend over the past five years. In 2019, the net profit margin was 7.51%, which increased to 7.10% in 2020. Subsequently, there was a notable improvement to 8.71% in 2021, followed by a further increase to 9.16% in 2022, and reaching 9.90% by the end of 2023. This upward trajectory indicates that the company has been effectively managing its expenses relative to its revenue, resulting in higher profitability over the years. A rising net profit margin reflects the company's ability to convert sales into profit and may suggest efficiency in cost management, pricing strategies, or increased revenue generation. Overall, the consistent improvement in the net profit margin demonstrates positive financial performance and operational efficiency for Otis Worldwide Corp.
Peer comparison
Dec 31, 2023