PACCAR Inc (PCAR)

Net profit margin

		Dec 31, 2024	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
Net income (ttm)	US$ in thousands	4,162,000	4,707,300	4,963,700	5,062,200	4,600,800	4,104,800	3,645,700	3,145,000	3,011,600	2,609,000	2,220,100	1,995,200	1,865,500	1,752,600	1,757,600	1,409,800	1,298,400	1,423,900	1,646,300	2,118,300
Revenue (ttm)	US$ in thousands	33,663,800	34,832,900	35,289,400	35,398,400	35,127,400	34,180,300	32,542,800	30,820,400	28,819,700	27,376,300	25,464,200	24,149,400	23,522,300	22,404,800	22,194,000	19,412,300	18,728,500	19,277,100	20,708,100	24,273,800
Net profit margin		12.36%	13.51%	14.07%	14.30%	13.10%	12.01%	11.20%	10.20%	10.45%	9.53%	8.72%	8.26%	7.93%	7.82%	7.92%	7.26%	6.93%	7.39%	7.95%	8.73%

December 31, 2024 calculation

Net profit margin = Net income (ttm) ÷ Revenue (ttm)
= $4,162,000K ÷ $33,663,800K
= 12.36%

The net profit margin of PACCAR Inc has shown a generally increasing trend from March 31, 2020, to December 31, 2024, indicating improving profitability over the years. The margin started at 8.73% in March 2020, experienced some fluctuations, and then steadily rose to a peak of 14.30% by March 31, 2024.

The company managed to effectively control its expenses and increase its profitability, reaching a significant improvement in net profit margin over the analyzed period. This upward trend suggests that PACCAR Inc has been efficient in managing its costs and generating more profit from its revenue, which could be reflective of effective operational strategies and financial management.