RXO Inc. (RXO)

Net profit margin

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Net income US$ in thousands -285 4,000 92,000 150,000 43,000
Revenue US$ in thousands 4,550,000 3,927,000 4,796,000 4,689,000 3,357,000
Net profit margin -0.01% 0.10% 1.92% 3.20% 1.28%

December 31, 2024 calculation

Net profit margin = Net income ÷ Revenue
= $-285K ÷ $4,550,000K
= -0.01%

The net profit margin of RXO Inc. has shown volatility over the years, fluctuating between 1.28% in December 2020 to -0.01% by December 2024. In 2021, the company experienced a significant increase in net profit margin to 3.20%, indicating improved profitability. However, this performance was not sustained, as the margin dropped to 1.92% in 2022 and further decreased to 0.10% in 2023. The negative net profit margin by the end of 2024 raises concerns about the company's ability to generate profits relative to its revenue. It is essential to closely analyze the factors contributing to these fluctuations to assess the overall financial health and sustainability of RXO Inc.