Raytheon Technologies Corp (RTX)
Net profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 3,195,000 | 5,197,000 | 3,864,000 | -3,519,000 | 5,537,000 |
| Revenue | US$ in thousands | 68,920,000 | 67,074,000 | 64,388,000 | 56,587,000 | 45,349,000 |
| Net profit margin | 4.64% | 7.75% | 6.00% | -6.22% | 12.21% |
December 31, 2023 calculation
Net profit margin = Net income ÷ Revenue
= $3,195,000K ÷ $68,920,000K
= 4.64%
The net profit margin of RTX Corp has displayed fluctuating trends over the past five years. In 2023, the net profit margin decreased to 4.64% from 7.75% in 2022, indicating a decline in the company's profitability. This reduction may be attributed to various factors such as increased operating expenses or declining revenue relative to costs.
Comparing the net profit margin in 2023 to the negative figure of -6.22% in 2020, RTX Corp has shown significant improvement in profitability over the past few years. This improvement suggests that the company has been able to effectively manage its costs and increase profitability despite challenges faced in the previous year.
It is important for RTX Corp to closely monitor its net profit margin to ensure sustainable profitability and financial health. The company should continue to focus on optimizing operational efficiency, controlling costs, and increasing revenue generation to positively impact its net profit margin in the future.
Peer comparison
Dec 31, 2023