Rambus Inc (RMBS)

Net profit margin

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Net income US$ in thousands 179,821 333,904 -14,310 18,334 -40,471
Revenue US$ in thousands 556,624 461,117 454,793 328,304 246,322
Net profit margin 32.31% 72.41% -3.15% 5.58% -16.43%

December 31, 2024 calculation

Net profit margin = Net income ÷ Revenue
= $179,821K ÷ $556,624K
= 32.31%

Based on the provided data for Rambus Inc's net profit margin over the years, the company's performance has varied significantly. In December 2020, the net profit margin was negative at -16.43%, indicating that the company's expenses exceeded its revenues, resulting in a loss.

However, by December 2021, Rambus Inc showed improvement with a net profit margin of 5.58%, indicating that the company was able to generate a profit after accounting for all expenses. The following year, in December 2022, the net profit margin dipped back into the negative territory at -3.15%, suggesting a decrease in profitability.

In December 2023, Rambus Inc experienced a significant turnaround, with a net profit margin of 72.41%, signaling a strong performance and profitability during that year. This sharp increase in profitability may have been influenced by various factors such as successful cost management or revenue growth.

By December 2024, the net profit margin remained relatively strong at 32.31%, indicating that Rambus Inc continued to sustain its profitability, albeit at a slightly lower level compared to the previous year.

Overall, the fluctuation in Rambus Inc's net profit margin over the years highlights the company's ability to adapt to changing market conditions and effectively manage its expenses and revenues to ensure sustainable profitability.