Shake Shack Inc (SHAK)
Net profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 20,264 | -21,229 | -8,655 | -42,158 | 19,827 |
| Revenue | US$ in thousands | 1,085,860 | 897,418 | 736,703 | 512,280 | 594,193 |
| Net profit margin | 1.87% | -2.37% | -1.17% | -8.23% | 3.34% |
December 31, 2023 calculation
Net profit margin = Net income ÷ Revenue
= $20,264K ÷ $1,085,860K
= 1.87%
The net profit margin of Shake Shack Inc has shown fluctuations over the past five years. In 2019, the net profit margin was 3.34%, indicating that the company generated a profit of approximately 3.34 cents for every dollar of revenue. However, in 2020, the net profit margin significantly decreased to -8.23%, signifying that the company incurred a loss of 8.23 cents for every dollar of revenue generated.
In 2021, the net profit margin improved slightly to -1.17%, although the company still experienced a negative margin. The trend continued in 2022, with a further improvement to -2.37%. Finally, in 2023, Shake Shack Inc managed to achieve a positive net profit margin of 1.87%, indicating that the company generated a profit of 1.87 cents for every dollar of revenue.
The fluctuations in Shake Shack Inc's net profit margin over the years may reflect various factors such as changes in operating expenses, cost of goods sold, or revenue growth. It is essential for investors and stakeholders to closely monitor the company's financial performance to assess its profitability and sustainability in the long run.
Peer comparison
Dec 31, 2023