Sanmina Corporation (SANM)

Net profit margin

		Sep 30, 2023	Sep 30, 2022	Sep 30, 2021	Sep 30, 2020	Sep 30, 2019
Net income	US$ in thousands	309,970	240,384	249,546	139,713	141,515
Revenue	US$ in thousands	8,898,760	7,890,480	6,756,640	6,960,370	8,233,860
Net profit margin		3.48%	3.05%	3.69%	2.01%	1.72%

September 30, 2023 calculation

Net profit margin = Net income ÷ Revenue
= $309,970K ÷ $8,898,760K
= 3.48%

The net profit margin of Sanmina Corp has displayed fluctuations over the past five years. In the most recent fiscal year ending on September 30, 2023, the net profit margin stood at 3.47%, representing a slight increase compared to the preceding year's figure of 3.25% as of October 1, 2022. However, a decline is observed when compared to the net profit margin of 3.98% on October 2, 2021. This suggests a certain level of volatility in the company's ability to convert revenue into profits.

The positive aspect is that the net profit margin has generally been increasing over the past five years, indicating improved efficiency in managing costs and generating profits. The most significant increase was observed between October 3, 2020, and October 2, 2021, where the net profit margin rose from 2.01% to 3.98%. This demonstrates the company's efforts in enhancing profitability.

Although the net profit margin has experienced fluctuations, it is essential to consider the company's industry and economic factors that may have influenced these changes. It is also important for stakeholders to assess the company's ability to sustain and potentially improve its net profit margin in the future.