RXO Inc. (RXO)
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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | -265,020 | -263,000 | -21,000 | -11,000 | 4,039 | -1,961 | 12,039 | 53,039 | 92,000 | 138,000 | 158,000 | 149,000 | 150,000 |
| Revenue (ttm) | US$ in thousands | 2,884,667 | 3,861,000 | 3,797,000 | 3,830,000 | 3,927,000 | 4,069,000 | 4,231,000 | 4,494,000 | 4,796,000 | 5,003,000 | 5,063,000 | 4,936,000 | 4,689,000 |
| Net profit margin | -9.19% | -6.81% | -0.55% | -0.29% | 0.10% | -0.05% | 0.28% | 1.18% | 1.92% | 2.76% | 3.12% | 3.02% | 3.20% |
December 31, 2024 calculation
Net profit margin = Net income (ttm) ÷ Revenue (ttm)
= $-265,020K ÷ $2,884,667K
= -9.19%
The net profit margin of RXO Inc. has displayed a declining trend over the periods provided. From December 31, 2021, where it stood at 3.20%, the margin gradually decreased to 0.10% by December 31, 2023, indicating a decreasing profitability relative to revenue.
However, the situation worsened significantly in the subsequent periods, with the net profit margin plunging into negative territory, reaching as low as -9.19% by December 31, 2024. This signifies that the company's expenses and costs outweighed its generated revenue, resulting in net losses.
The sustained decrease in net profit margin indicates potential financial challenges for RXO Inc., highlighting the need for management to address the underlying issues and implement strategies to improve profitability and operational efficiency.
Peer comparison
Dec 31, 2024